Average Daily Rate (ADR)
ADR is the average rate paid for rooms sold, typically calculated as room revenue divided by rooms sold. STR defines ADR as a measure of the average rate paid for rooms sold and provides the standard formula.
- Where it applies
- Generally, not specific to New York
- When it comes up
- Asset management; reporting; underwriting
- Property types
- Hospitality
In practice
ADR is sensitive to segmentation (group vs transient) and comp-set definitions; operators often track ADR mix rather than a single blended number.
Related terms
Operating Performance Metrics
- EBITDA Per Available Room (EBITDA PAR)
- Gross Operating Profit Per Available Room (GOPPAR)
- Labor Cost Per Available Room (LPAR)
- Load Factor (Common Area Factor / Loss Factor)
- Net Effective Rent (NER)
- Occupancy Cost
- Occupancy Cost Ratio
- Rentable Area
- Revenue Per Available Room (RevPAR)
- Sales per Square Foot
General information, not legal, tax or financial advice.