Unprecedented number of permanent closures of Manhattan hotels grows

Declines in hotel occupancy and revenue per available room (RevPAR) continued to accelerate across Manhattan during the fourth quarter, as the COVID-19 pandemic curbed both holiday tourism and commercial travelers demand to the city, reported PricewaterhouseCoopers.

With tens of thousands of rooms temporarily closed, business and international travel all but suspended, and leisure demand drivers severely restricted, fourth quarter RevPAR experienced a year-over-year decline of 85.2 percent.

“2020 is a year Manhattan hotel owners will likely choose to forget. With RevPAR down 71.2 percent for the year, owners are looking for a rapid distribution of a vaccine during first half 2021 to ignite a gradual return of city-wide conventions, followed by the domestic business traveler and lastly, international inbound travel,” said Warren Marr, U.S. hospitality and leisure managing director at PwC.

Manhattan’s lodging sector continues to experience record permanent c