Member Article

Occupancy and room rate rises fuel robust growth in Liverpool's hotel sector

An increase in overseas visitors and a strong development pipeline are contributing to robust growth in Liverpool’s hotel sector.

According to figures released by property advisors GVA, the sector reached 75% occupancy in 2015 with the average daily rate (ADR) for the city’s hotel rooms reaching £68.08, equating to revenue per available room of £51.15 – a 19% increase since 2010.

The strong performance has been credited to an increase in overseas visitors to the city, which stood at around 608,000 overnight staying trips in 2014, along with continued development of the city’s budget hotel offering.

Hotels set to launch in the city soon include easyHotel Liverpool and Roomzzz Liverpool City, which comprise a pipeline of 48 hotel projects across the city.

Martin Davis, GVA’s Director of Hotels commented: “This growth has been supported by a large increase in overseas visitors to the city. Liverpool has a well-developed tourism offer, with a strong events calendar, and is a popular short break leisure destination.

“Supply is largely weighted towards the budget end of the market which accounts for almost 40 per cent of total room stock in the city. The city also has a well-developed supply of extended stay properties and is home to brands such as Adagio, StayCity and Staybridge Suites.”