From the 4.25% lodging tax collections that Visit GJ received (short-term rental lodging tax revenue is collected quarterly), October 2021’s business was a factor of 26.7% higher compared to October 2020 (adjusted for late and missing payments). For a more accurate comparison, October 2021's business was 25.3% higher than October 2019's business (pre-pandemic). Of the Grand Junction lodging properties that reported their metrics to STR, LLC., occupancy for October 2021 was 71.0%, ADR was $106.44, and RevPAR was $75.61.
As expected, Grand Junction experienced a decrease in all hotel metrics over the previous month of September. October 2021’s business experienced a factor of a 10.2% decrease in occupancy, a 10.2% decrease in ADR, and a 19.2% decrease in RevPAR over September 2021’s business. Compared nationally, Grand Junction outperformed U.S. hotels in average occupancy for October by 12.9%. However, Grand Junction trailed the U.S. in ADR by 26.6% and RevPAR by 12.1%. Compared to the state, Grand Junction outperformed Colorado's hotels in average occupancy for October by 10.1% but trailed the state significantly in ADR and RevPAR by 30.9% and 18.9%, respectively.
From March to October 2021, Grand Junction's monthly occupancy has surpassed the U.S. monthly occupancy by an average of 10.3 percentage points and Colorado's monthly occupancy by 7.1 percentage points. This demonstrates that Grand Junction's awareness is increasing, and lodging properties are doing a great job capturing market share. While it's very encouraging that Grand Junction has experienced record ADR for several months this year, it has consistently been lower than the U.S. monthly ADR by an average factor of 24.0 percent and lower than Colorado's monthly ADR by 42.4 percent. While it is tempting to significantly lower ADR during off-season months, be sure not to generate high volumes of low-rate bookings to stimulate demand as it will challenge your resources. Focus on pricing strategies that include curated packages and complimentary offers. For additional assistance with optimizing ADR and revenue management, contact Elizabeth anytime at ElizabethF@GJCity.org.
Click here for the latest sales, use, and lodging tax collection reports from the City of Grand Junction.
*Source: STR, LLC. - REPUBLICATION OR OTHER RE-USE OF STR’s DATA WITHOUT THE EXPRESS WRITTEN PERMISSION OF STR IS STRICTLY PROHIBITED.