Marriott poised for relief in NYC with construction surge easing

Seattle

THE supply surge that's kept New York hotel room rates from rising for two and a half years may be starting to ease. That's good news for operators including Marriott International Inc as the industry's fight with Airbnb in the priciest US lodging market turns ugly.

Even with occupancy well above the national average, room rates in the city are down, declining 1.8 per cent in the first half, amid a construction boom, according to STR, a lodging-data provider. The supply of rooms rose an average of 4.8 per cent annually from 2014 to 2016, STR said.