The Norfolk and Virginia Beach hotel market saw the largest increase in occupancy among U.S. markets for the first quarter of 2016 compared to the first quarter of 2015, gaining 6.2 percent for a 47.6 percent occupancy level, Smith Travel Research reported.
Overall, the U.S. hotel industry’s occupancy dropped slightly to 60.7 percent. Oahu Island, Hawaii posted the highest absolute occupancy level at 84.2 percent for the quarter followed by Miami/Hialeah, Florida, at 83.2 percent.
The Norfolk-Virginia Beach market was one of only three markets in the top 25 that experienced double-digit growth in revenue per available room in the first quarter of 2016 versus 2015, posting an 11.2 percent increase to $36.09.
The Virginia Beach Development Authority approved a grant last week of $7,500 for the Old Dominion University Procurement Technical Assistance Center. The center helps small, minority-owned, woman-owned and service disabled veteran companies and seeks to improve the general economy of Hampton Roads, according to its website.
The authority also approved a grant of $2,500 to pay business incubator Hatch‘s operations license fees for its pilot program “1,000 Four,” an on-demand video library of weekly workshops hosted by industry experts.
Virginia Beach-based Armada Hoffler Properties Inc. announced a $42 million investment in Annapolis Junction Town Center, a planned 18-acre mixed-use development between Baltimore and Washington with 17,000 square feet of retail space, a 150-room hotel and 100,000 square feet of office space. The $102 million project is scheduled to break ground in the second quarter of 2016, according to a release. Armada Hoffler will build the The Residences at Annapolis Junction Town Center for a guaranteed maximum price of $68 million and has a purchase option to acquire an 88 percent interest in the project after construction.
Norfolk Southern Corporation earned $387 million during the first quarter of 2016, a 25 percent increase from the first quarter of 2015, it reported.
“Our strong first-quarter results demonstrate the significant progress we are making in line with our strategic plan,” CEO James A. Squires said in a release. “Our focus on strengthening Norfolk Southern is yielding results, and the company is now on track to achieve productivity savings of about $200 million and an operating ratio below 70 in 2016.”
