“New York Hotels Occupied by Immigrants, Homeless, and Crews Instead of Travelers”

The New York hotel industry does not recover occupancy due to the crisis caused by the pandemic and although it is increasing, Costar’s analysis shows that the increase in occupancy does not come from travelers but from contracts to accommodate immigrants from the border south, crews, lifeguards, among others.

In January, New York hotel occupancy reached 66.2%, compared to 42.7% a year earlier, coming from so-called contract occupancy, said Romy Bhojwani, Costar’s director of hotel market analysis.

The hotels receive not only immigrants, but also the homeless, as well as airline crews, first responders and include contracts to reserve 10 or more rooms in 30 days, Bhojwani said.

Regarding the flights that arrive in New York, Bhojwani indicated that the crew contracts are less than pre-pandemic because the airports still do not operate the number of flights that they previously had. (NY: Delta, United, Jetblue and American will reduce flights this summer).

Although leisure demand is on the rise, the occupancy rate is still affected by the slow recovery in business and group travel, Bhojwani said.

Among the hotels that have these contracts in Manhattan are Row NYC and the Stewart Hotel, as well as the Watson Hotel and the Holiday Inn in the financial district. In Queens, the Wingate by Wyndham hotel in Long Island City.