Your Fabulous Recession Vacation

The recession could be good news for those with enough money to travel: According to the Los Angeles Times, in 2009 “U.S. hotels will suffer one of the greatest annual declines in occupancy and revenue in history.” That means deals! Hotels will begin lowering prices and offering incentives like free meals, car rentals, and free third nights in order to lure vacationers. The image is less rosy from the hoteliers’ point of view. Reports are predicting an 8 percent drop in revenue per room this year. Other analysts predict net operating income will decline 14 percent, in part due to room reductions.