U.S. RevPAR Defies Fed Rates to Reach Record Highs
U.S. hotel operating performance is setting records independent of Federal Reserve rate cuts, driven by resilient demand and tight supply. However, maturing debt and high capital costs continue to pressure transactions and create opportunities for well-capitalized buyers.
Key Takeaways
- 1U.S. RevPAR forecast upgraded to 2.8% after 4% year-over-year gains in early 2026.
- 2Cap rates have recalibrated to multiyear highs, ranging between 8.0% and 9.5%.
- 3Nearly 70% of the $18.7 billion in maturing 2026 hotel CMBS loans carry floating rates.
Source: Hotel Dive
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