Extended-stay hotels further demonstrated the sector’s resilience to the eight-month long hotel industry downturn in November, especially at lower price points, according to the Highland Group's recent report.
Economy extended-stay hotels have incurred far lower RevPAR declines than all economy class hotels for six straight months, according to the group. The contraction in mid-price extended-stay hotel RevPAR has been about two-thirds the loss reported for all mid-price hotels over the last three months.
“Extended-stay hotels are expected to see negative change in RevPAR in December and possibly early into 2026 but the decline should not be as large as corresponding classes of all hotels especially at lower price points,” Mark Skinner, partner at The Highland Group, said in a statement.