” There is evidence for hoteliers to be optimistic heading into 2019 and even beyond. According to American Express Business Travel’s 2019 hotel outlook, Georgia’s various incentives, including its film tax credit, will continue to fuel hotel demand in the region, with a prediction that Atlanta’s 4% annual average rate growth will feed RevPAR growth over the next several years.
‘A significant amount of infrastructure development is underway in Atlanta, with new expansions and builds promising to attract more tourists, commercial travelers and group demand,’ AMEX officials wrote in the report, citing Hartsfield-Jackson Atlanta International Airport’s $6B expansion.
On top of that, Super Bowl LIII on Feb. 3 is expected to give a huge boost to Atlanta hotels, with a nearly 200% increase in the average daily room rate for the three-day weekend, to $271/night, and a 350% jump in RevPAR to $219.40/room, according to a recent STR report. The Super Bowl is expected to have a big halo effect on RevPAR growth through the first quarter of 2019 as well, by as much as 9.5%, according to a recent CBRE report.
Legacy Ventures is seeing that Super Bowl activity, with all five of its Downtown Atlanta hotels under management — including the Embassy Suites at Centennial Olympic Park, the Hilton Garden Inn and the Hotel Indigo — booked solid for that weekend. Founder David Marvin said an event like the Super Bowl is likely to drive further corporate event business in Atlanta with companies taking advantage of renovated hotel rooms and refreshed convention spaces.
‘There’s an interesting dynamic that I’m beginning to get excited about. There’s some business that’s going to result from a halo effect due to the Super Bowl,’ Marvin said. ‘I think Atlanta’s stock is rising, and we’re going to continue to attract new business. We think 2019 is going to be a great year and we think 2020 is going to be a great year. But who can really predict more than two years?’ ”