How do you calculate the RevPAR of a hotel?

Answer 1

RevPAR is a hotel industry measurement of operations.

ADR is average daily rate or average revenue per occupied room.

Occupancy is fairly straight forward, the total number of nights sold compared to potential (rooms in the hotel times nights in the period).

RevPAR is occupancy times ADR. It takes into account occupancy and price. In general higher RevPAR is better than lower.

Please note that RevPAR does not consider costs, therefore is only indirectly linked to profit.

Hope this helps.