Preliminary data from STR’s monthly report found occupancy soared 7.1% in the capital to 80.1%, while RevPAR increased 14.5% to £119.41. Meanwhile, average daily rate (ADR) was also up 7% to £149.02.
The increase was down to demand outstripping supply, with supply increasing 2.7% compared with a 10% jump in demand.
December marked London’s highest year-over year RevPAR increase in the past 52 months – since the UK hosted the Summer Olympics in 2012.
STR analysis noted that while the performance growth is compared with a weak December 2015 – when London hotels experienced a downturn in performance following the terror attacks in Paris – December 2016 marked London’s highest actual occupancy level for any December on record.