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Successful June for Hotels in Barcelona and Milan

Barcelona and Milan hotels definitely had a successful month in June 2014 as they managed to increase their gross operating profit per available room (GOPPAR) by 8.5% and 4.1% respectively. This was reached mostly thanks to increased average room rate (ARR). The growth for hotels in Barcelona estimated 8.8%, but bigger room rate made occupancy fall by 4.6%. RevPAR was still positive and estimated 3.3%. Additional revenues were got from extra services offered by hotels. For example, the revenues from hiring meeting rooms estimated 40.4%, while the growth of revenues from selling beverages and food estimated 9.3% and 5.2% respectively. This helped boost TRevPAR by 6.4%.

Milan hotels posted slightly lower results. Here RevPAR added 2.9%, driven by the growth of demand by 2.6%.The growth from non-room revenues such as beverages and food estimated 3.9%, helping DOPPAR add 2.9% in June.

Other popular European destinations posted mixed results. Hotels in Cologne had a weaker month comparing to June 2013 results. Such key indicators as average room rate and occupancy were declining, making RevPAR lose 9.6%. Another famous German city, Dusseldorf, shows strong performance since the beginning of the year, but in July hotels in this city posted negative movements in all key indicators. Occupancy lost 0.3% and ARR declined by 1.2%, making RevPAR drop by 1.7%.

08.08.2014

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