The average room rate, however, was relatively flat at $84.42 per night, compared with $84.79 in 2003, according to the report by Bob Benton of Robert S. Benton & Associates. The report shows that in the city the average occupancy rate was 47%, compared with 43% in December 2003. It was the fourth consecutive month that the occupancy rate bested the same month in 2003. Overall, the occupancy rate was higher in eight months last year, when compared to 2003. In two of the months, February and May, the occupancy rates were unchanged.

The average room rate in December rose to $79.66, compared with $74.38 in December 2003. December marked the fifth consecutive time that the room rate improved from the same month in 2003. In August, room rates began to rise; in the first seven months of 2004, room rates lagged behind 2003, as hotel owners attempted to boost occupancy levels.

The report shows the Downtown market ended the year with an overall vacancy rate of 65.5% and an average room rate of $121.50. It was the only market to break $100 for an average room rate. In December, Downtown's occupancy rate stood at 49.3% and its average room rate at $113.17.

Hotels near the Denver International Airport boasted the highest overall occupancy rate at 74% for the year. Hotels near DIA averaged $77.95 per room. In December, the occupancy rate for DIA hotels averaged 62.3%, while the average room rate was $73.76.

The overall Southeast market booked an average occupancy rate of 58.5% and an average room rate of $76.05. In December, the occupancy rate stood at 44.7% and the room rate at $71.80. The top tier hotels along the Southeast market showed an overall occupancy rate of 62.8% in 2004, compared with 52.4% in 2003, while the average room rate rose to $86.20 from $84.20 in 2003.