Revenue per available room: a hotel's room revenue divided by all the rooms it had to sell, whether they were occupied or not.
CoStar’s STR glossary defines RevPAR as room revenue divided by rooms available: the hotel’s rooms multiplied by the days in the period, so 100 rooms over a 31-day month make 3,100. Because ADR (average daily rate) is room revenue divided by rooms sold, and occupancy is rooms sold divided by rooms available, RevPAR also equals ADR multiplied by occupancy. A 100-room hotel that sells 80 rooms one night at an ADR of $400 takes $32,000 at 80% occupancy. Its RevPAR is $320: $32,000 divided by 100, or $400 times 0.8.
The difference from ADR is the denominator. ADR counts rooms sold, RevPAR every room available, so empty rooms lower RevPAR but not ADR, and a higher rate at much lower occupancy can still lose RevPAR. RevPAR counts rooms only: TRevPAR, total revenue per available room, adds food and beverage and other income, and GOPPAR deducts operating costs. A RevPAR index of 100 means a hotel matches its competitive set.
In job listings
Revenue management listings set RevPAR beside ADR and occupancy as measures to raise through pricing and distribution, and analytics roles at hotel groups define it and report it in dashboards alongside occupancy, ADR and channel mix. See current RevPAR roles.
