United States -  New Orleans

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 and high festival attendance, further bolstered by three nights of sold-out concerts in October. ADR decreased modestly in 2023, normalizing after the 2022 NCAA tournament was held in the city. ADR declined during the first half of 2024 but increased slightly in the fourth quarter. Officials expect publicity from Super Bowl LIX in 2025 to boost the city's profile, as infrastructure, attractions, amenities, and hotels have been renovated for the event. The outlook is optimistic due to the stronger cycle of convention years through 2026 and the expectation that more major events will boost market occupancy and ADR during peak periods.

* 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:

Lauren Hock
Senior Vice President - Gulf Coast Leader
Valuation, Market & Feasibility Consulting
[email protected]
  • +1 805 431-0729 (w)