San Antonio Hospitality Market Report

Demand begins to recover as long-term infrastructure investments advance. Last year, San Antonio recorded its largest decline in RevPAR and occupancy since 2020, despite relatively low completion levels. Performance softened across all submarkets and service levels. Limited-service hotels were hit hardest, posting an occupancy drop of roughly 300 basis points and an 8.5 percent decline in RevPAR. Demand could start to recover, thanks to the completion of the Alamo Plaza project and to the Terminal A expansion at San Antonio International Airport, which saw passenger traffic decline in 2025 for the first time since the pandemic. Long-term revitalization efforts, including the multibillion-dollar Project Marvel, position the metro for stronger future performance. The project includes a new $1.5 billion Spurs Arena, major additions to the Henry B. Gonzalez Convention Center, the conversion of the John H. Wood Jr. Courthouse into a 6,000-seat live-event venue, and long-term upgrades to the Alamodome, further enhancing the market’s tourism sector, which has historically been an existing comparative advantage for San Antonio.