Detroit Hospitality Market Report

Performance bifurcated as infrastructure investment meets international headwinds. Economy and luxury hotels posted the greatest occupancy growth for Detroit in 2025, signaling a bifurcation as midscale properties’ occupancy decreased. With a high concentration of luxury properties, the Detroit-Dearborn area led the RevPAR with 1.4 percent growth last year. While the timing is uncertain, the completion of the Gordie Howe Bridge should support this momentum, as it could increase visibility and demand for rooms in the Detroit-Dearborn area. Tempering this, however, is declining Canadian travel from Windsor, down roughly 11 percent year-over-year, signaling erosion of a historically reliable source of leisure demand. Meanwhile, the $198 million AlumniFi Field in Corktown, planned for the 2027 season, could marginally help nearby properties in the entertainment-dense downtown. Major automotive manufacturers, such as GM, Ford, and Stellantis, are responding to tariff pressures by shifting more production to U.S. plants, which could increase business-related travel as they navigate these complex situations.