10Y UST4.63%-1.49%30Y MTG6.66%+1.22%SOFR3.64%-0.55%VNQ$98.31-0.62%XLRE$44.91-0.64%FED FUNDS3.63%
Real Estate Trail
Institutional Press Wire
Hospitality Net · Hospitality

CoStar, Tourism Economics upgrade U.S. hotel growth forecast

Via Hospitality Net · August 6, 2026
Compiled by Real Estate Trail Editorial · August 6, 2026

Why this matters

The upward revision to U.S. hotel growth forecasts by CoStar and Tourism Economics signals a cautiously optimistic recalibration of institutional expectations for hospitality real estate. An increase in RevPAR and ADR projections suggests that demand recovery is outpacing earlier assumptions, potentially reflecting stronger consumer confidence and travel activity. The anticipated rise in GOPPAR further implies improving operational profitability, which could support more robust underwriting and valuation metrics for hotel assets. For allocators and lenders, this adjustment may influence capital allocation decisions within the sector, encouraging renewed interest in hotel investments that had been tempered by pandemic-era uncertainty and inflationary pressures. It also hints at a possible tightening in lending conditions becoming less acute, as improved cash flow prospects reduce risk premiums. However, the forecast horizon through 2026-27 underscores that recovery remains gradual, not a swift rebound, reinforcing the need for selective positioning and scrutiny of market subsegments. Overall, the revised outlook reflects evolving fundamentals that could recalibrate risk-return profiles in hospitality, affecting capital flows and portfolio strategies amid a still-fluid macroeconomic environment.

Editorial analysis · AI-assisted

On the RET wire

Computed from Real Estate Trail’s own tracked coverage

Excerpt from Hospitality Net:
CoStar and Tourism Economics raised their 2026-27 U.S. hotel outlook at the Hotel Data Conference, lifting RevPAR by 1.6 ppts and ADR by 1.1 ppts, with GOPPAR forecast to rise 4% in 2026.
Read the full article at Hospitality Net

External link. Real Estate Trail does not republish source content.

Related coverageHospitality

Hospitality Net · Hospitality

Outdated Revenue Tools Become a Portfolio Performance Risk

Argues that Excel-based revenue workflows create costly decision delays across hotel portfolios, and outlines what an effective RMS should deliver in terms of explainability, consolidation, and total cost of ownership.

1h ago
Hospitality Net · Hospitality

U.S. hotel results for week ending 1 August

U.S. hotel RevPAR rose 7.3% year-over-year for the week ending 1 August 2026, with Philadelphia and St. Louis leading Top 25 Markets while Las Vegas posted the steepest declines.

1h ago
Hospitality Net · Hospitality

Either everyone is a VIP or Nobody is

A hotel operations veteran argues that true luxury service means personalizing attention for every guest, not prioritizing one "VIP" at the expense of everyone else.

1h ago