US Hotels See Strong Q1 But Holy Week Falters

Demand and RevPAR decline as Easter holiday shifts business travel

Apr. 10, 2026 at 12:55pm

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A highly stylized, geometric illustration of a towering hotel or resort complex set against a vibrant gradient sky, capturing the grand scale and romance of the travel industry in an abstract, non-literal way.The hotel industry's performance during the Easter holiday period reflects its ongoing need to adapt to shifting travel patterns and preferences.New Orleans Today

Preliminary data shows U.S. hotels had their strongest first quarter since 1987, with a 5.9 million increase in rooms sold year-over-year driving a 3.6% rise in RevPAR. However, the week leading up to Easter Sunday, known as Holy Week, saw a 4.6% drop in demand and 5.1% decline in RevPAR, marking the largest weekly declines so far in 2026. The timing of Easter this year likely shifted some business travel to March, helping that month see over 3% growth in group demand, but Holy Week saw a 37% drop in group demand for luxury and upper-upscale hotels. Spring break destinations like Hawaii, Florida, and Southern California helped offset the broader declines, while large markets reliant on weekday business and weekend leisure travel, like Las Vegas, Nashville, and New Orleans, saw significant drops.

Why it matters

The hotel industry's performance during the Holy Week period is an important indicator of broader travel trends, as the week typically yields low demand due to the timing of the Easter holiday. This year's declines, while not as severe as past years, highlight the industry's continued sensitivity to calendar shifts and the importance of diversified demand sources to offset seasonal fluctuations.

The details

While the first quarter was the strongest for U.S. hotels since 1987, the week of March 29 to April 4 saw demand fall 4.6%, the largest decline of the year so far, driving down RevPAR 5.1%. This was the first week since January that demand, ADR and RevPAR all declined simultaneously. The Holy Week period has historically been a slow demand week, with the past four years averaging a 6.7% decrease. However, early-week demand growth on Sunday and Monday helped soften the overall decline compared to previous years. Group demand for luxury and upper-upscale hotels fell 37%, representing a pullback in business travel. Luxury hotels were the only class to see RevPAR growth last week, up 6.7% despite an overall industry decline.

  • The week of March 29 to April 4 saw the largest demand decline of 2026 so far at 4.6%.
  • Over the past four Holy Weeks, hotel demand has decreased an average of 6.7%.

The players

STR

A data and analytics company that tracks the hotel industry.

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The takeaway

The hotel industry's performance during the Holy Week period highlights its continued sensitivity to calendar shifts and the importance of diversified demand sources to offset seasonal fluctuations. While the first quarter was strong overall, the declines seen during the Easter holiday week underscore the need for hotels to be nimble in adapting to changing travel patterns and preferences.