November room occupancy ‘flat’

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Posted on Dec 08 2004
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Describing the results as “somewhat flat,” average hotel room occupancy for November was higher than October, but registered a 5.8 percent decline when compared with the same month last year. Industry executives say this was due primarily to recent natural disasters in the region.

The average room occupancy for November 2004 was 67.23 percent, while the average room rate for November was $75.31. This was $5 higher than November of last year, when the average rate was $70.31. Year to date, the average room rate has been $79.80, compared with the $81.31 average over the same period of time last year—or a $2 drop in yield per night.

“November was a slower month, which was primarily due to a number of natural disasters in our major market, Japan, which experienced 10 typhoons and a number of earthquakes,” said HANMI chairwoman Lynn Knight. “This created a psychological barrier for many would-be Japanese travelers.”

On a positive note, Knight said the Japan Marianas Tourism Club, which visited Saipan Nov. 27-30, praised the CNMI for its “lovely hospitality mindset” and for opening the new Paseo de Marianas pedestrian mall in Garapan.

However, the group of Japan-based industry executives also noted that repeat business is currently being impacted by two problems the island of Saipan can easily correct: the aggressive solicitation of visitors in Garapan; and long departure lines at the Saipan International Airport due to low staffing levels of the TSA amidst strict security measures now being enforced for all American destinations.

“They described the new Paseo de Marianas as very beautiful, but advised us that to promote the image of a safe and friendly destination, JMTC would like to see less solicitation to make the area more family-oriented,” said Knight, referring to JMTC executives.

Knight said HANMI is hoping that Gov. Juan N. Babauta will act favorably in signing into law the new anti-loitering measure, House Bill 14-22, which recently passed both houses of the Legislature. The bill prohibits loitering for commercial gain on public thoroughfares.

HANMI is comprised of 15 Saipan hotels with a total of 2,606 rooms. The organization also has 12 allied members. More information about HANMI is available on the internet at www.marianashotels.org.

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