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Hotel occupancy down in January

Published: February 19, 2014, 3:19 pm, by Wayne Heilman

There was plenty of room at the local inn during January, and the guests that did stay in the Colorado Springs area got a pretty good deal, according to the Rocky Mountain Lodging Report.

The hotel occupancy rate in the Colorado Springs area last month fell to 43.4 percent from 46.1 percent a year earlier, the second consecutive monthly decline and the fourth time in the past five months the occupancy rate fell from the same month a year ago, according to the report. The January rate is the tied with January 2011 as the lowest rate for any January since 2009.

The area’s average room rate in January fell 4.4 percent from January 2013 to $81.31, the first such drop in 10 months and the largest percentage decline from the same month a year ago since December 2009. Full-service hotels – properties with extensive meeting space, a restaurant and other amenities – were hit harder than limited-service hotels: The occupancy and average room rates for limited-service hotels increased slightly, while the occupancy and average room rate for full-service hotels fell.

The Broadmoor and Cheyenne Mountain Resort are not included in the totals for the Springs area, but are part of a separate category, “other resorts,” with many of the state’s ski resorts. The occupancy rate for that category also fell.

Statewide hotel occupancies were much stronger in January, increasing to 60.1 percent from 54.7 percent in January 2013, and the average room rate was up 3.3 percent during the same period to $143.44. Occupancies increased in every market in the state but the Springs, Grand Junction, Greeley and the other resort category.