Saturday, October 11, 2008

Hawaii Hotels Has Lowest Occupany Rate Since 1998

The state's number one industry continues to take a hit.

According to a report released today, hotels across the state are on the average only three-quarters full.

Many industry experts say they haven't seen the numbers this bad in a really long time.

But many of the tourists who are coming are benefiting.

A gloomy outlook for Hawaii's tourism market.

"We've never seen the perfect storm of the loss in seats, increased fuel costs, the global economy. It seems like nothing else could go wrong," said Keith Vierra, Starwood Hotels Sr. Vice President.

According to Hospitality Advisors LLC, Hawaii's hotel room demand fell during August, with a statewide occupancy of 74.4%.

It hasn't been this bad since August of 1998.

The Big Island had the lowest occupancy with 63.5%, followed by Maui, Kauai, and Oahu with the highest at 80.4%.

"There is no view for bouncing back. We are planning for worst '09. I think there is going to be layoffs and other cuts across the state in the next couple of months. It's going to be as bad as we've ever seen anything," said Viera.

Viera says the Sheraton Princess Kaiulani's Japanese restaurant Momoyama will be closing next month because of the lack of customers.

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Nomadic Matt said...

maybe that means we'll get some great deals!