The Corporate Housing Providers Association (CHPA) recently released its annual Corporate Housing Industry Report covering 2013. This report is based on 125 US and Canadian company respondents, representing international, national, regional, provincial and local companies in North America. Reporting US companies have an estimated 54% of total corporate housing units in the US.
The corporate housing industry has been a significant growth segment of the lodging industry for the past 20 years with the industry remaining healthy in 2013. Highlights from the latest report include:
- For the second successive year residential apartment demand growth exceeding the change in supply lowered vacancy and made it difficult for corporate housing providers to get units with acceptable rental terms. Despite an increase in units owned by corporate housing providers, the supply of US corporate housing units declined in 2013 compared to 2012. It was again difficult for corporate housing providers to find inventory in 2013 and the supply of units declined 3.6%.
- The Average Daily Rate increased approximately $5 in the US to $136.53 and decreased almost $8 in Canada. In our home market of Detroit, Michigan the Average Daily Rate was $102 per day.
- The average stay in a US corporate housing unit was 84 nights in 2013, down from 88 nights in 2012. The average length of stay has trended upward from 71 nights in 1999. The last four years, the average stay has varied only slightly, ranging from 83 to 88 nights.
- In the US, relocation continues to be the main reason for client stays, while in Canada, project/training is the major reason clients stay in units, with relocation a close second.
The survey highlights the corporate housing industry’s key performance indicators for North America, along with market-specific information in more than 60 metropolitan areas. For a complete copy of the report click here: