Portland, Oregon
Contact: Deborah Wakefield,
503/275-9795
deborah@travelportland.com

June 11, 1998

Hotel Growth Explodes in Portland

A strong local economy, high hotel occupancy rates and healthy average daily rates (ADR) at Portland-area lodging properties have encouraged an explosion of new hotel development in this Pacific Northwest city. More than 5,000 new rooms will be added to the Portland metro area between now and the year 2000. Projects currently underway include a 200-room Westin hotel in the heart of the city's theater district, a nearby Marriott Hotel - City Center, boasting 252 rooms and 70,000 square feet of retail space; and a second Embassy Suites project with 250 rooms near the Portland International Airport. In addition, the new Embassy Suites Hotel at the former historic Multnomah Hotel, a landmark property that added 276 suites and 15,000 square feet of meeting space to Portland's downtown core, opened just last year.

According to PKF Consulting, an industry group that surveys hotels throughout the country, Portland's 1996 downtown hotel occupancy exceeded 77 percent (8 percent above the state average). The 1997 ADR for these same properties has grown nearly 10 percent over 1996 rates, hovering near $107.00 per room per night. This ADR is surpassed only by the nation's Northeast region, which includes pricey New York City properties.

"The growth in Portland's hotel product is both exciting and challenging," said Michael Smith, vice president of sales for the Portland Oregon Visitors Association. "On one hand it gives us additional convention-quality rooms to offer to groups meeting in Portland; on the other hand, it means working harder to fill those rooms year-round. However, it's a challenge we're happy to tackle."