Hotels enjoying boom in 2012, but next year more mixed

While 2012 is proving to be a banner year for hotels in the state, next year will be more mixed, with room occupancy down but revenues up, according to a forecast released Tuesday by the Massachusetts Lodging Association.

Occupancy at Boston hotels in 2013 is expected to decline about 1.3 percent in 2013, according to analysts with the Pinnacle Advisory Group, which prepared the report. However, room rates will climb 6 percent to an average of just under $228 per night, while revenue per room is estimated to increase 4.7 percent, the analysts said. Those numbers represent more modest growth than the 10.8 percent in room-revenue expected in 2012.


The current year has been strong for hotels in the Boston area, with a number of large conventions, an influx of tourists and mild weather driving occupancy.

The tempered expectations for 2013 stem in part from a smaller number of “citywide’’ conventions that book at least 2,000 hotel room nights; 26 such conventions came to Boston this year, while only 21 are expected next year, according to the report.

Boston is expected to receive 1.3 million visitors from overseas this year, 11% more than in 2011.

Massachusetts’s recovery from the recession has also helped the industry, analysts said at the meeting. Since May 2011, the state’s unemployment rate has decreased from 6.6 to 5.5 percent.

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