Upscale Maui Hotel Rates, Especially Wailea, Set to Stay High | News, Sports, Jobs

The Wailea luxury resort area is featured in August 2021. High rates in Wailea, which has some of the lowest occupancy rates but the highest room rates in the state, are expected to continue even though the Economic difficulties in the continental United States are leading to a potential drop in travellers, said a University of Hawaii tourism professor. he Maui News/MATTHEW THAYER photo

Even as inflation and economic hardship hit the United States, a University of Hawaii tourism professor expects most Maui hotel rates – among the highest in the state, in particularly in Wailea – remain high.

The average daily room rate at a Wailea hotel in August was $1,022.25, the third time this year the average room rate was $1,000 or more, according to the performance report of Hawaii Hotels from the Hawaii Tourism Authority.

The average August room rate in Wailea is up 11.8% from the $913.99 rate in August 2021 and 63.3% from $625.88 at pre-Secondary levels. pandemic in 2019.

Hotel rooms in Wailea are the most expensive in the state, according to Tourism Authority reports.

Wailea fares may not hover around $1,000 all the time, but Professor Jerry Agrusa of UH’s School of Travel Industry Management said high fares will continue to be the trend, because there will always be people able to pay these rates and therefore allow hotels to support them.

“The rich are always rich” Agrusa said Monday afternoon, noting that is the case even with inflation.

Agrusa, which specializes in hospitality and tourism management, said there are people who have made a lot of money during the pandemic, such as those who work in the grocery industry and in businesses. like Safeway and Kroger, as well as Amazon.

“I think the high end will always come” he added later, but said that many tourists “in general” may not flock to Valley Island.

“I think the high end will maintain their prices, but the others will adjust and come down,” he explained Maui hotels.

“Maui will always be a sought-after destination.”

Visitor arrivals to Maui in July were up 7.8% from July 2021 and were only 1% lower than arrivals seen before the 2019 pandemic. However, hotel occupancy rates in July and August remained the lowest in the state.

Last month, hotels in Maui County had an occupancy rate of 67.9% compared to Oahu at 81.6%, Kauai at 79.2% and the island of Hawaii at 73.4%.

Maui County’s occupancy rate in August was down 6 percentage points from 73.9% in August 2021 and 10 percentage points from 77.9% in August 2019.

And Wailea had one of the lowest occupancy rates in the state at 59.6% in August, down 10.6 percentage points from 70.3% in 2021 and down 31 .3 percentage points compared to an occupancy rate of 90.9% in 2019.

Statewide, the occupancy rate was 77.1%, up 3.8 percentage points from 73.3% in 2021, but down 7 percentage points from 2019 before the pandemic, when the occupancy rate was 84.1%, according to the report.

Rates, meanwhile, continued to climb. Overall, the average daily rate in the state was $382.93, up 7.5% from $356.17 in 2021 and up 32.1% from $289.94 in 2019.

Revenue per available room in the state was $295.26 in August, up 13% from $261.23 in 2021 and 21% from $243.93 in 2019.

Maui County may lag behind in occupancy, but brings in significantly more money than other properties in the state.

In August, revenue per available room was $421.79 in Maui County, down 4.2% from $440.10 in the same period in 2021, but up 38% from $305.55 in 2019.

Wailea’s revenue per available room in August was $609.66, down 5.1% from $642.26 in 2021, but up 7.1% from $568.98 in 2019.

Among hotels in the Lahaina/Kaanapali/Kapalua area, revenue per available room was $384 in August, an increase of 2.4% from 2021, when revenue was $375.18, and 54.5% from 2019, when revenue was $248.52.

Hotels on the West Side fared better in terms of occupancy than Wailea with an occupancy rate of 71% in August, down 6.1 percentage points from 77% in 2021 and 5.3 percentage points from 76.3% in 2019.

Average West Side hotel rates in August were $541.15, up 11.1% from $486.99 in 2021 and 66% from $325 in 2019.

Maui County had the largest vacation rental supply of the four counties in August with 231,900 unit nights available, an increase of 0.4% compared to 2021 and a decrease of 24% compared to 2021. 2019.

Unit demand was 161,700 unit nights, a decrease of 7.4% compared to 2021 and 31.6% compared to 2019. This resulted in an occupancy of 69.7%, a decrease of 5, 9 percentage points compared to 2021 and a decrease of 7.7 percentage points compared to 2019.

The average daily rate in August was $348, up 23.3% from 2021 and 49% from 2019.

* Melissa Tanji can be reached at [email protected]

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