Wine Country Hospitality Reports Increased Revenue Months After North Bay Fires
The Wine Country’s hospitality sector has rebounded after a series of wildfires struck the North Bay in October. Occupancy rates and hotel revenue were up in December and January in Napa Valley, according to a Visit Napa Valley report, which used data from Smith Travel Research. Sonoma County also reported increased hotel revenue in January.
For Napa County, occupancy increased 6.8% in December and revenue was up 9.2% compared to the previous year. Occupancy in January was up 4% and revenue increased 8.8% compared to January 2017. Comparatively, hotel revenue dropped 36%, daily room rates dropped 19% and occupancy decreased 22% in October as many guests canceled plans after the fires struck, according to the Napa Valley Register.
Sonoma County's average room rates were $146 in January, a 12.7% increase compared to January 2016. For 2017, rates increased 5% to $171 compared to 2016. Napa County's average room rates were relatively unchanged at $217 in January compared to January 2016 as were average rates for the year, which were about $310.
Napa Valley hotels were left unharmed after the fires, which burned less than 14% of the total 504,000 acres in Napa Valley. The fires were predominately in forested hillsides, according to Visit Napa Valley CEO Clay Gregory. A majority of Napa Valley’s wineries reopened days after the fires and only a handful of wineries were severely impacted. No hotels in the county burned. Sonoma County lost two hotels during the fire.
According to Napa Valley Vinters CEO and President Linda Reiff, less than 10% of Napa Valley Vinters’ 550 winery members reported direct fire damage.