ATLANTA—In a case of rising tide actually lifting all boats, arallying US economy is giving a lift to RevPAR for all classes ofproduct in the hotel sector, says PKF Hospitality Research.Increasingly, that's the case across a broader geographic swath ofthe country, thus helping propel RevPAR growth ahead of long-termaverages across all chain-scales through 2017.

“No matter what hotel performance indicator you look at for anytype of hotel, we foresee extremely favorable movements the nextfew years,” says R. Mark Woodworth, president of Atlanta-basedPKF-HR, a CBRE company. “Our firm is projecting demand growth tooutpace changes in supply in the U.S. through 2016. That willresult in industry wide occupancy levels at, or above, all-timerecord levels through 2017.”

Further, PKF-HR's Hotel Horizons report for Decemberforecasts ADR to increase by an annual average of 5.4% through '17.That will drive an average 11.8% annual rise in unit-level NOIduring the same period, including a 13.2% year-over-year increaseprojected by 2015.