Warm weather and great events seemed to lure visitors this spring as Miami ranked #1 in March among the top 25 markets nationally for Average Daily Rate (ADR) at $238.12, Revenue Per Available Hotel Room (REV PAR) at $212.20 and Hotel Room Occupancy at a high 89.1%. Even more telling, the ADR increased 14.4% and REV PAR, 19.1% over 2012. These significant jumps over other popular locale such as Hawaii and New York demonstrate our competing edge in top markets.
No doubt Ultra Music Festival, the Sony Open Tennis and the South Beach Food and Wine Festival were key factors in generating such high occupancy. One more bonus was the number of passengers through PortMiami from January through March – 1,369,071 (a surge of 14% above 2012 numbers).
The positive net effect of steady travel to Miami in January and February includes surges in tourist-related tax collections. The first months’ comparisons to 2012 reveal the strong benefit to our local economy and the difference a year can make. In Miami-Dade County (which excludes Miami Beach, Bal Harbour, and Surfside), the 2% Hotel Food and Beverage Tax Collections from hotels increased 11.5% over 2012, generating $1,449,130. Even better, the 2% Hotel Food and Beverage Tax Collections from hotels on Miami Beach generated $5,084,544, up 13.3% from last year. The high occupancy also positively impacts resort taxes – as reflected in the City of Miami Beach 3% Resort Tax Collections which increased 15.0% from last year.
Miami Boasts Five-Star Status
These encouraging numbers are only boosted by the presence of two five-star hotels, Aqualina Resort & Spa in Sunny Isles and Mandarin Oriental Hotel on Brickell Key each earning an upgrade from their prior four-star status. These coveted ratings help to cultivate Miami’s reputation as a luxury destination, which will encourage travel year-round.
Miami is obviously growing in popularity and status and we anticipate that this remarkable first quarter is indicative of a fantastic year.