New Orleans' reputation as a world-renowned vacation destination, a top-tier convention market, and a host of major sporting events draws millions of tourists to the market each year. This status is bolstered by attractions such as the French Quarter and National World War II Museum, as well as the market's annual festivals, including Mardi Gras and the New Orleans Jazz & Heritage Festival. All major events were canceled from March 2020 through much of 2021, and Hurricane Ida struck the city in August 2021. Occupancy strengthened in 2022 when Mardi Gras parades resumed and festivals recorded pre-pandemic attendance levels. In 2023, occupancy growth moderated, registering just below 60.0%; however, occupancy surpassed that mark in 2024 given a strong convention cycle, high festival attendance, and three nights of sold-out concerts in October. In 2024, the city hosted more than 19 million visitors for the first time since the pandemic. Partly due to the city hosting Super Bowl LIX, ADR increased strongly in the first half of 2025; however, a decline in festival attendance and a correction in the fourth quarter led to lower occupancy levels and RevPAR loss for the year. We note that the convention schedule is expected to recover by 2028, helping boost market occupancy and ADR during peak periods; however, demand levels during the off-peak summer months are likely to remain low.
* 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.
The widespread impact of the coronavirus (COVID-19) has had an unprecedented impact on hotels and hotel values worldwide.
Consequently, the latest HVI analysis may no longer reflect the most current measure of lodging industry strength or the
hospitality investment market.
In each of our offices across the globe, we are working tirelessly to analyze the impact of recent events and provide timely
insights to help you navigate these uncharted waters. Because it is unclear how long the pandemic will last or how long related
restrictions will be in place, we are updating our analyses on a weekly basis using the most current data.
Additionally, examination of value trends in prior cycles can provide useful information. Historical patterns, together with
an understanding of the market’s current expectations for the eventual recovery of the industry and its performance, can provide
insights on the likely trajectory of decline and recovery for hotel values.
For the Latest Information and Analysis on the Impact of COVID-19Click Here
If you’d like to speak to someone personally to review details of our most current analysis, please don’t hesitate to contact
us directly.
ADR, Demand, Occupancy, RevPAR, and Supply Projections:
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|
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| ADR Change
|
|
|
| Market Demand Change
|
|
|
| Hotel Occupancy Increase/Decrease
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|
|
| RevPAR Change
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0.0%
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0.0%
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| Market Supply Growth
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Change In Value For Market:
Legend
| Significant Value Increase:
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Greater than +10%
|
| Moderate Value Increase:
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Between +3% and +10%
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| Stable Values:
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Between -3% and +3%
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| Moderate Value Decline:
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Between -3% and -10%
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| Significant Value Decline:
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More than -10%
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New Orleans RevPAR Change
New Orleans RevPAR
| Year |
RevPAR |
| 2008 |
$74.02
|
| 2009 |
$65.35
|
| 2010 |
$74.97
|
| 2011 |
$78.26
|
| 2012 |
$89.70
|
| 2013 |
$95.53
|
| 2014 |
$99.82
|
| 2015 |
$103.44
|
| 2016 |
$102.00
|
| 2017 |
$101.57
|
| 2018 |
$103.62
|
| 2019 |
$105.18
|
| 2020 |
$108.88
|
| 2021 |
$
|
| 2022 |
$
|
| 2023 |
$
|
| 2024 |
$
|
| 2025 |
$
|
| 2026 (f) |
$
|
| 2027 (f) |
$
|
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