Canada -  Niagara Falls

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HVS In-Depth Canada Hotel Valuation Index:   2019 | 2018 | 2017 | 2016 | 2015 | 2014 | 2013

NIAGARA FALLS, the “Honeymoon Capital of the World,” is situated on the southeastern part of Ontario that faces the American Bridal Veil Falls and the Canadian Horseshoe Falls. The city is a world-class golf destination and a popular international tourist destination, supported by an abundance of attractions, including the Hornblower Niagara cruise, the Journey Behind the Falls, the Niagara Zipline, and the Ripley’s Believe It or Not Museum, as well as hotels, casinos, convention centres, professional golf courses, and family-style resorts. Because of these improvements, Niagara Falls is often called the Las Vegas of Canada.

Construction in the residential sector was exceptionally vibrant during 2019, as housing starts in the St. Catharines-Niagara region reached a 30-year high, or a 42.8% increase over 2018. The Niagara Falls city council also approved several large-scale developments last year, including a 72-storey mixed-use building with 456 hotel units and 275 condo units on Stanley Avenue and another $150-million development on Stanley Avenue with a 300-unit apartment building, a 150-room hotel and a 50-unit commercial building. The massive $1.5-billion tourism, residential and retail complex, known as the Riverfront Community, also cleared another hurdle when the appeal against the development was dismissed by LPAT in late 2019.

The outlook for the Niagara Falls market was optimistic for 2020 as the construction on the 5,000-seat Niagara Falls Entertainment Centre has completed and was scheduled for an April opening before the COVID-19 crisis took hold.

Niagara Falls is among the hardest-hit lodging markets as the area is largely oriented towards leisure travellers and meeting and group demand, as well as demand from the U.S. Many hotels in the market area have completely or partially suspended their operations due to the muted demand. The pandemic will undoubtedly have a negative impact on 2020 hotel values resulting in significant value decreases, returning to moderate growth in values by 2021 as leisure travelling rebounds.

Change In Value For Market: ($CAD)

Legend
Significant Value Increase: Greater than +10%
Moderate Value Increase: Between +3% and +10%
Stable Values: Between -3% and +3%
Moderate Value Decline: Between -3% and -10%
Significant Value Decline: Less than -10%

For more information, please contact:

Monique Rosszell, AACI, AACI, MRICS, ISHC
[email protected]
  • +1 416 686-2260 (w)
  • +1 514 776-7099 (m)
  • +1 416 704-3883 (m)