A useful benchmark is a relevant, dated comparison—not a national number labeled boutique. For this desk’s purposes, the benchmark must match the property’s demand, service model, geography and reporting period.
STR/CoStar defines RevPAR as a room-revenue performance measure, while its glossary separately identifies profitability measures such as GOPPAR. CBRE also offers property-level financial benchmarking, illustrating that revenue and expense comparisons require different datasets. (costar.com)
Our recommended benchmark request specifies:
- Monthly occupancy, ADR and RevPAR for an agreed observation period.
- The properties or documented selection rules behind the comparison.
- Room count, affiliation, amenities and renovation status.
- Treatment of closures, out-of-order rooms and exceptional events.
- Whether results are aggregated and what redistribution permissions apply.
Ask for both a relevant competitive set and a broader market reference. The former tests positioning; the latter helps identify whether a change is property-specific or market-wide.
What is not established here: a licensed national RevPAR benchmark for US independent and soft-branded 30–150-room hotels. We have not constructed one from public room prices or company marketing material.
If a seller supplies a benchmark, ask for its dates, denominator, composition and permitted use before incorporating it into an investment memorandum.