Page 30 - Las Vegas LVQR Market Research Report Q1 2024
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Colliers   2
            Hospitality
         Las Vegas  24Q1













         Visitor Statistics                                   Room Occupancy

         In February 2024, YTD visitor volume was 6.58 million people,   2024        2023         2022
         6.3% higher than one year ago. Visitor volume remained lower
         than 2019 levels, but continued to improve. Visitor volume was   90%
         boosted in February by Super Bowl LVIII.
         Room occupancy grew 1.7% citywide, 1.4% on the Las Vegas   85%
         “Strip” and 3.5% in Downtown in February 2023. The Average
         Daily Rate (ADR) was $248.35, compared to $176.64 one year ago,   80%
         and Revenue per Available Room (RevPAR) was $208.37,
         compared to $145.20 one year ago. Gaming revenue growth was   75%
         8.9% in Clark County, 12.4% on the “Strip”, 2.7% in Downtown
         and 0.6% on the Boulder Strip.
                                                               70%
         Taxable sales in the leisure and hospitality sector over the past
         twelve months was $15.2 billion, an increase of 4.5% from the   65%
         previous twelve months. Taxable sales in the food service and   Q1        Q2         Q3         Q4
         drinking places sub-sector increased 4.5% to $12.9 billion.
                                                              Source: Colliers International
         After a fourth quarter boost from Las Vegas’s first Formula 1 race,   Year-over-year employment grew by 16.8% in arts, entertainment
         the Las Vegas Grand Prix, the first quarter saw a boost from Super   and recreation, -1.4% in accommodation, 4.8% in gaming
         Bowl LVIII, the first Super Bowl hosted by Las Vegas.  industries and 0.9% in food service and drinking places. Limited-
         Employment                                            service restaurants had no employment growth year-over-year,
                                                               while full-service restaurants saw employment decrease by -1.7%.
         Employment in the leisure and hospitality sector was 292,600 in   Development
         Feb 2024, compared to 289,100 one year ago, a 1.2% increase.
                                                               According to the LVCVA, total room inventory in Southern Nevada
        Hospitality Metrics                                    in February 2024 was 156,190 units, an annual increase of 2.9%.

                                                               No new properties were delivered in the first quarter of 2024,
             Avg. Visitor Volume (000's)  ADR  RevPAR          after the Valley saw 3,975 rooms added to inventory in the fourth
                                                               quarter of 2023. A single property totaling 90 rooms is scheduled
                                                               for completion in 2024, with most other developments being
         $250.00                                     5,000.0
                                                               pushed back to a 2025 or 2026 completion date. A total of 953
                                                               rooms were under construction in the Valley.
         $200.00
                                                     4,000.0   Of particular note is the impending closure of the legendary
                                                               Tropicana Las Vegas on April 2, 2024 to make way for a new MLB
         $150.00                                               stadium for the soon-to-be Las Vegas A’s. This will remove 1,470
                                                               rooms from inventory next quarter.
                                                     3,000.0
         $100.00                                               Renovations and/or remodeling were underway at the Bellagio,
                                                               Rio Hotel & Casino, Silverton Casino Lodge and the Mandalay Bay
                                                     2,000.0   Convention Center. New constructions for 2024 include Ole Red
          $50.00                                               Las Vegas music club, BLVD Las Vegas, Bottled Blonde at Grand
                                                               Bazaar, Atomic Golf, Play Playground at the Luxor, PopStroke at
                                                               Town Square, Swingers Las Vegas at Mandalay Bay and two new
           $0.00                                     1,000.0
                  23q1   23q2   23q3   23q4   24q1             stops for the Vegas Loop. Operators are betting big on golf in
                                                               2024, with three golf attractions opening on the Las Vegas “Strip”.
        Source: Colliers International


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