Tourism is the core of O'ahu’s economy. Attracting more visitors than any other island in the state, O'ahu offers a Hawaiian experience in a relatively urban setting, particularly in Honolulu. The market has historically been one of the strongest in the United States, rivaling New York City in overall occupancy performance. Last decade, tourism reached an all-time high in 2019, with visitor arrivals surpassing 10.4 million for the state of Hawaii that year. O'ahu typically achieves occupancy levels around 80.0% during periods of economic strength. Following the pandemic-related decline, occupancy reached 80.0% again in 2023, while ADR surpassed $280. RevPAR reached an all-time high, supported by the ongoing recovery of international tourism, sustained ADR growth, and more-stringent regulations on short-term vacation rentals. Performance metrics remained relatively stable in 2024 given the softening in domestic travel, coupled with the effects of the August 2023 wildfires on the island of Maui. In 2025, RevPAR declined, influenced by reduced airline capacity, as well as international tourism related to the tariff policies. While visitor arrivals have increased in 2026, overall RevPAR growth has remained stagnant given declines in market-wide rates. The partial closure of the Hawaii Convention Center through 2028 has resulted in a loss of some compression demand for hotels in Waikiki.

* 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.

ADR, Demand, Occupancy, RevPAR, and Supply Projections:

Change In Value For Market:

Oahu Island RevPAR Change

Oahu Island RevPAR

For more information, please contact:

John Berean Managing Director, Hawaii and Northern California Region Leader Valuation, Market & Feasibility Consulting [email protected] +1 281 381-3456 (w)