Canada’s hotel sector delivered a varied performance in April 2025, shaped in part by the timing of Easter, according to newly released data from CoStar.
While average room rates saw modest growth, occupancy levels dipped slightly across much of the country, contributing to a stagnant overall revenue per available room (RevPAR).
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Modest rise in room rates offset by dip in occupancy
National occupancy stood at 63.2% for April, reflecting a 1.0% decline compared to the same month in 2024. In contrast, the average daily rate (ADR) rose by 1.1% year over year, reaching CAD190.46.
This modest increase was insufficient to drive broader gains in revenue performance, as RevPAR held steady at CAD120.36.
Industry analysts attribute the year-over-year fluctuations partly to the negative side of the Easter calendar shift, which altered traditional travel timelines and booking behaviours. The mixed results reflect uneven demand across different regions and markets.
British Columbia tops provincial performance
Among Canada’s provinces and territories, British Columbia recorded the highest occupancy at 68.7%, a 1.5% rise from April 2024.
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By GlobalDataThe province benefited from steady domestic and international travel, particularly in its urban centres and scenic coastal regions.
Prince Edward Island, while posting the lowest occupancy rate of 44.2%, saw a 6.4% improvement year over year. The increase suggests early signs of recovery in the seasonal market ahead of peak summer tourism.
Major urban centres show divergent trends
Among Canada’s major urban markets, Vancouver achieved the highest occupancy at 78.5%, despite a 1.2% year-over-year decrease.
This dip did not significantly impact the city’s leading position, which remains buoyed by strong demand in the business and leisure segments.
Calgary posted the lowest occupancy among the largest markets, at 61.2%, representing a 0.9% decline from the same period last year.
The city’s hotel performance continues to face pressure from subdued corporate travel and competition within the accommodation sector.
While April’s figures reflect ongoing volatility in Canada’s hospitality industry, the outlook remains closely tied to seasonal patterns, shifting travel demand, and broader economic conditions affecting both domestic and international tourism.
