Canadian Hotel Industry Reports 6.5% RevPAR Growth in 2026

Canada's hospitality sector is maintaining robust performance through mid-2026, with revenue per available room climbing 6.5% year-to-date through June, according to the latest quarterly outlook from HVS and CoStar.

The growth builds on momentum from 2025, when the industry posted a 4.0% RevPAR increase. The sustained expansion comes even as global geopolitical tensions and economic volatility continue affecting markets worldwide.

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Several factors are driving the Canadian lodging industry's resilience, the report indicates. Strong domestic leisure and business travel forms the foundation, while international dynamics are reshaping demand patterns. China has reportedly designated Canada as a preferred destination, opening new source markets for the country's hotels.

Currency advantages are also playing a role. The favorable exchange rate is said to be attracting American visitors back across the border, while some international travelers who might previously have chosen U.S. destinations are reportedly opting for Canadian properties instead.

The quarterly analysis covers performance metrics across six major Canadian markets, tracking occupancy rates, average daily rates, and revenue per available room. The data reflects conditions in the nation's primary urban and resort destinations, though specific market-level details were not disclosed in the release.

For operators seeking more granular information, CoStar produces the Canadian Hotel Review, an annual subscription service providing comprehensive performance data across all regions of the country.