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 is one of the strongest in the United States, rivaling New York City in overall occupancy performance. In 2015, travelers to Europe and South America were displaced to this market, as terrorist activity and the Zika virus, respectively, affected the perception of those markets as tourist destinations, causing a minor increase in occupancy. By 2019, tourism had reached an all-time high, with visitor arrivals surpassing 10.4 million for the state of Hawaii that year. While the pandemic took a considerable toll on the market, O'ahu typically achieves occupancy levels in excess of 80.0% during periods of economic strength. In 2023, occupancy reached 80.0% once again. ADR also increased, surpassing the $280 mark in 2023, and RevPAR reached an all-time high. Factors contributing to the 2023 performance levels included the ongoing recovery of international inbound tourism, as well as sustained ADR growth. The outlook for 2024 remains positive, as tourism from international sources (most notably Japan) should continue to improve, although overall growth in visitor arrivals is expected to be modest.
* 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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| ADR Change
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| Market Demand Change
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| 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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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%
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| 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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Oahu Island RevPAR Change
Oahu Island RevPAR
| Year |
RevPAR |
| 2008 |
$126.34
|
| 2009 |
$109.45
|
| 2010 |
$117.71
|
| 2011 |
$133.76
|
| 2012 |
$155.79
|
| 2013 |
$174.42
|
| 2014 |
$182.51
|
| 2015 |
$187.33
|
| 2016 |
$191.63
|
| 2017 |
$193.89
|
| 2018 |
$202.66
|
| 2019 |
$210.80
|
| 2020 |
$218.21
|
| 2021 |
$
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| 2022 |
$
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| 2023 |
$
|
| 2024 (f) |
$
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| 2025 (f) |
$
|
| 2026 (f) |
$
|
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