Fort Lauderdale Hospitality Market Report

Momentum begins to slow. Historic levels of domestic travel to Southeast Florida have greatly benefited hospitality fundamentals in Fort Lauderdale. The influx of visitors in 2022 lifted room demand to unprecedented levels, with the number of occupied room nights reaching nearly 10 million. Both ADR and RevPAR grew by at least 20 percent in response. However, occupancy remained below pre-pandemic levels as the market continued to absorb the 4,100 rooms that opened from 2018 through 2021. Looking ahead, several factors will contribute to stagnant growth across key performance indicators. Increased competition in the overall travel landscape has ramped up as some demand has begun to shift back to urban destinations and international trips, slowing momentum in Fort Lauderdale and other beach locations that have outperformed over the past two years. Furthermore, widespread inflation and rising interest rates are tightening consumers’ budgets and their reliance on credit and savings. Leisure travel will likely moderate as a result, softening some of the ADR momentum Broward County has experienced over the past two years.