WASHINGTON, D.C. — With the presidential campaign in the
homestretch, Washington, D.C. is seeing a surge in hotel and vacation rental
bookings for early 2025 as visitors rush to secure spots ahead of a potentially
historic Inauguration Day.
A Travel Weekly search on the Marriott International, Hilton
and IHG Hotels & Resorts websites for hotels in the capital over the January 20 inauguration found that dozens of properties in the city were listed as sold
out. A search of Hilton and IHG properties showed only three with availability
in the D.C. area, all in Virginia or Maryland and prices at those properties
started at $650 per night.
Elliott Ferguson, CEO of Destination DC, confirmed the
organization has anecdotal evidence of strong hotel bookings for the
inauguration period, adding that a potential win for Kamala Harris, the vice
president and Democratic presidential nominee, could significantly boost
visitation levels.
"The demand is definitely there," Ferguson said.
"And we're excited that this could be the first inauguration in a long
time that we'd see large numbers of individuals traveling because if [the
outcome is] unprecedented, with her becoming the first female and first woman
of color president, then clearly we're going to see higher demand."
To manage that demand, as well as the uncertainty
surrounding election results, D.C.-area hotels typically implement special
booking strategies, with many properties enforcing a three- or four-night
minimum stay and some implementing nonrefundable bookings or harsh cancellation
penalties.
The short-term rental sector in Washington is experiencing a
similar boost in inauguration-related bookings, according to Ryan Saylor,
director of product marketing at Beyond, a revenue management software platform
for vacation rentals. Beyond works directly with around 1,500 of Washington's
total supply of roughly 17,000 short-term rental units.
Beyond's data shows that occupancy levels for the
inauguration period of Jan. 19 and 20 are already at around 62% or 63%,
compared to about 47% during the same time of year before the 2021
inauguration. On January 18, 2021, short-term rental accommodations ultimately hit
an inauguration-time occupancy peak of 75%.
Bookings are already pacing ahead of 2021 by about 10% on occupancy and if Harris wins, and we're looking at something that's more of a historical moment, that would certainly drive quite a bit more demand.
Ryan Saylor
"Bookings are already pacing ahead of 2021 by about 10%
on occupancy," Saylor said. "And if Harris wins, and we're looking at
something that's more of a historical moment, that would certainly drive quite
a bit more demand."
Saylor pointed out, however, that short-term rental supply
can often expand amid periods of extraordinary demand.
"Something that we can also see -- which also typically
happens with events like the Super Bowl or the Olympics -- is that rental
supply skyrockets," he said. "People think, 'Oh, let me put up my
extra bedroom and sell it for $1,000.' If we do see the first woman president,
then we're likely going to see quite a bit more supply come online as the
general public realizes there's going to be more demand."
The potential inauguration surge comes on the heels of
what's likely to be another strong year for D.C. tourism in 2024.
According to Destination DC, the city welcomed a record high
of nearly 26 million visitors in 2023, surpassing 2019's visitor count by 4%.
Ferguson predicts that the final 2024 visitation numbers could run even
higher.
"We're anticipating year-over-year growth," said
Ferguson, adding that international inbound travel into D.C., while still a
small percentage of overall visitors, is on the upswing.
That growth is reflected in the destination's latest hotel
data, with CoStar reporting that D.C. hotel occupancy is up 3% year to date
through July, compared with 2023.
Ferguson attributes some of the recent tourism success to
Destination DC's "Only One DC" campaign, which the group debuted last
November. The marketing effort aims to highlight the city's unique experiences
and wealth of free activities, and it directs potential visitors to its
website, Washington.org, where they can find hotel deals, event listings and
dining and itinerary suggestions.
"The campaign is really appealing, and it's resonating
with the global community," Ferguson said. "They want to know more
about what we're selling and how visitors can take advantage of what we have to
offer, which is great."