Hotel occupancy across Caribbean hotels rose every month from January through July 2026 compared to 2025, averaging 73.4 percent over this seven-month period, according to data from STR cited by Caribbean Journal. This represents a 5.4 percent year-over-year increase, with monthly occupancy gains ranging from 1.7 percent in January to 7.8 percent in March.
Monthly Occupancy, ADR, and RevPAR Rates
Monthly occupancy progressed from 73.0 percent in January, a 1.7 percent increase from 2025, to 77.9 percent in February with a 1.9 percent rise. March recorded the highest occupancy at 80.5 percent, up 7.8 percent year over year. Occupancy then measured 74.5 percent in April, 67.0
percent in May, followed by 68.6 percent in June, and 72.6 percent in July, representing increases of 6.5 percent, 5.6 percent, 6.4 percent, and 7.3 percent respectively.
Average daily rates (ADR) for the period January through July 2026 averaged $393.50, a 5.3 percent year-over-year increase. ADR peaked during the winter months with $439.90 in January, $448.90 in February, and $457.13 in March, then declined seasonally to $398.71 in April, $331.14 in May, $325.10 in June, and $329.77 in July, the latter marking a 1.6 percent increase over July 2025. Revenue per available room (RevPAR) averaged $288.90 through July, rising 11
percent from 2025 with monthly growth ranging between 8.7 percent and 13.6 percent year over year.
Room Demand and Supply Trends
Available room nights in the Caribbean declined throughout each month of 2026 compared to 2025, totaling approximately 54.6 million from January through July, down 3.9 percent year over year. The monthly decreases in available rooms were 1.5 percent in January, 1.0 percent in February, 2.1 percent in March, 2.5 percent in April, 3.3 percent in May, 6.7 percent in June, and 10 percent in July.
Occupied room nights increased year-over-year from January through May 2026, reaching about 40.1 million over the seven-month period, a
1.2 percent rise versus 2025. However, occupied nights declined slightly in June and July, with approximately 5.17 million room nights occupied in June and more than 5.48 million in July. While July demand was down 3.4 percent year over year, the sharper 10 percent decline in supply bolstered occupancy rates.
Drivers Behind Occupancy Gains
The growth in occupancy across Caribbean hotels is attributed to rising average daily rates combined with a reduced supply of available rooms. Hotels maintained increased room rates through early 2026, which elevated revenue per available room. Concurrently, the steady decrease in room inventory has amplified the share of occupied rooms,
contributing to consistent occupancy growth even in months when overall demand declined.
Sustained Regional Recovery Through Multiple Months
Occupancy improvements extended beyond the Caribbean’s traditional winter season into summer 2026, with five of the seven months from January through July posting year-over-year occupancy gains exceeding 5 percent. The consistent monthly increases demonstrate a broad-based regional recovery in hotel performance rather than reliance on isolated peak periods. Caribbean hotels achieved seven consecutive months of positive occupancy growth in 2026, supported by double-digit revenue per available room growth and a tightly constrained room supply.
