Pebblebrook Hotel Trust's August Same-Property RevPAR Dips 1% Due To Storms; Urban Markets Show Demand Recovery

Pebblebrook Hotel Trust PEB said its Same-Property revenue per available room decreased (RevPAR) by 1% in August, owing to Tropical Storm Hilary and Hurricane Idalia, which caused over 200 bps of impact. 

The company said these storms caused weather-related cancellations, early check-outs, reduced short-term pickup, and one-time repair/clean-up and remediation expenses.

As a result, Pebblebrook Hotel estimates hotel revenues were reduced by $3.5 million, and hotel EBITDA was reduced by $2.5 million from late August through early September. 

Same-Property EBITDA declined 1%. Excluding the impact of the named storms, the company estimates that Same-Property EBITDA would have increased approximately 6% over the prior year period. 

Among the company's urban markets, Los Angeles, Washington DC, San Francisco, Boston, and Chicago continue to experience recovering demand, driving increases in both occupancy and RevPAR. 

August Same-Property Urban total revenues increased 7% year-over-year, driven by a continued rebound in group and transient business travel and improving weekend leisure demand. 

Urban occupancy enhanced by approximately 500 basis points versus the prior year while rates remained relatively flat.

Price Action: PEB shares are trading higher by 0.59% to $13.72 on the last check Friday.