Phila. hotels projected to hit highest occupancy in 67 years

Philadelphia's hotels are projected to hit record occupancy by the end of this year.

Center City's hotels have been on a roll this year. Hotel occupancy was 89.4 percent in June, the highest monthly rate in Philadelphia in more than 20 years, and the first six months of 2015 beat last year's occupancy.

New projection numbers are in, and it looks like Philadelphia's hotels are on track to continue that hot streak.

If projections are met, this year's occupancy numbers would be the highest the city's experienced since 1948 when occupancy was at 83 percent.

If the city does hit 77.4 percent in occupancy, it would mean travelers from all segments — leisure, convention/group and commercial — will have filled an estimated record 3.1 million hotel rooms.

“People are coming for Philadelphia, said Meryl Levitz, president and CEO of Visit Philadelphia. "The destination itself is the reason to visit, and travelers are doing it more and more every year. The pope was here for a weekend; the rest of the year succeeded simply because of Philly.”

The convention and group segment is projected to account for 33 percent of the room nights in Center City, while the leisure and business segments are expected to account for 31 percent of the room nights.

"We are thrilled that occupancy is projected to be up for Center City hotels in 2015," said Julie Coker Graham, incoming president and CEO of the Philadelphia Convention & Visitors Bureau. "Looking ahead, 2016 is projected to be another banner year with growth in all major market segments."

The city's average daily rate, or ADR, is expected to hit a record $182, with increases in all three major segments:

    The commercial segment is projected to increase by 5 percent to $200

    The group segment is projected to increase by 5 percent to $188

    The leisure segment is projected to increase by 4 percent to $166

Source: Philadelphia Business Journal