Hospitality 2025: The Reset Before the Rise
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Hospitality 2025: The Reset Before the Rise
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2025 didn’t break hospitality — it normalized it.
After three years of record travel, demand cooled, ADR flattened, and RevPAR dipped slightly — not from weakness, but from a long-overdue return to equilibrium. Leisure stayed resilient, urban and group travel quietly returned, and the travel market itself diversified.
Extended stay was the clear winner. While traditional hotels softened, extended-stay assets held occupancy, protected rates, and absorbed new supply — driven by workforce housing, relocations, and project-based demand that doesn’t cycle like tourism.
Capital stayed selective, not distressed. Investors chased stability, not hype.
This episode breaks down what actually happened in 2025 — and why 2026 sets up as a year of steady, controlled growth.
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