United States -  Chicago

Chicago's McCormick Place Convention Center and other meeting facilities throughout the city, hundreds of corporations and institutions, and many leisure attractions, such as Navy Pier, Soldier Field, and the Shedd Aquarium, represent the primary sources of demand in the greater Chicago market (Chicagoland). Over the last two decades, Chicago tended to enjoy occupancy levels in the mid-to-upper 60.0% range, except during a national economic downturn. In 2023, occupancy reached the mid-60s, similar to levels recorded in the early 2000s but well below the peak occupancy period of 2013 through 2019. ADR, on the other hand, surpassed the $160 mark in 2023, and RevPAR reached the pre-pandemic peak. Factors contributing to the occupancy gains in 2023 included demand growth driven by the return of citywide conventions and corporate travel. The outlook for 2024 is favorable, with further occupancy growth expected to be driven primarily by commercial demand and the resumption of convention center activity. Furthermore, the breadth of economic anchors in Chicago should bolster the market's economic strength over the long term, although higher office vacancy levels and greater economic concerns are headwinds for the market.

* Although the HVI cannot tell you what a particular hotel is worth, it does provide excellent “big picture” data, indicating which market areas are experiencing positive trends, and thus may present good investment opportunities. The HVI for the U.S. is a measure of the strength of the lodging industry as a whole and, specifically, the hospitality investment market. The HVI for the various identified markets can provide a basis to evaluate and compare different geographic regions. For more insight on the limitations and applicability of the HVI, please read the message on the HVI home page by clicking on the graphic at the top of this page.

Change In Value For Market:

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: More than -10%

For more information, please contact:

Brian Arevalo
Senior Vice President
Valuation, Market & Feasibility Consulting
[email protected]
  • +1 817 680-7666 (w)
Amy Schmidt
Director
Valuation, Market & Feasibility Consulting
[email protected]
  • +1 815 701-8001 (w)