Newfoundland and Labrador Product Development Strategy

- 238 -The region has 25% of all properties and 33% of all rooms in the province.AVALON REGIONNumber Number 1 – 1.5 Star 2 – 2.5 Star 3 – 3.5 Star 4 – 4.5 Starof Prop’s of Units Prop’s Units Prop’s Units Prop’s Units Prop’s UnitsHotel/Motel 27 1805 0 0 21 752 4 476 2 577B&Bs 56 162 0 0 31 86 18 55 7 21Cottages 25 179 0 0 15 129 10 50 0 0B&Bs/Inns 31 170 0 0 9 48 3 21 19 101Total: 139 2316 0 0 76 1015 35 602 28 699% of Each Type - - 54.7% 43.8% 25.2% 26% 20.1% 30.2%° Avalon region has most of the higher star grade accommodation in the province with 50%of the 4 – 4.5. Star gradeSupply of Accommodations in Avalon Region- By Star Gradeproperties and 84% of the unitsat this star grade level in the70.0%province no 1- 1.5 star60.0%55.0%properties. Some 30% of theunits in the Avalon region are at 50.0%44.0%the 4 – 4.5. star level, the vast40.0%majority of them in St. John’s.Demand30.0%20.0%25.0% 26.0% 20.0%30.0%100%90%80%70%60%50%40%30%20%10%0%The Avalon region enjoys the bestoccupancies in the province, drivenby the solid performance of theaccommodation sector in St. John’s46% 50% 47%59% 61% 72% 78% 81% 73%64%55%10.0%0.0%Accommodations in Avalon - Monthly Occupancy Rates: 200238%61%JAN MAR MAY JULY SEPT NOV ANNUALOccupancy0.0% 0.0%1/1.5 Star 2/2.5 Star 3/3.5 Star 4/4.5 StarProp'tsUnitsin recent years. Annual occupancyrates for all properties in the regionwere in the 60% plus range for thepast three years, with July/Augustoccupancies of close to 80% andJune through September occupanciesof over 75%.Exhibit 13 provides accommodationoccupancy data by type of propertyand star grade. While some of thedata must be viewed with cautiondue to low reporting rates, it isevident that the higher star gradeproperties outperform those withlower star ratings.THE ECONOMIC PLANNING GROUP of Canada Newfoundland & Labrador Tourism Product DevelopmentD. W. Knight Associates Strategy and Accommodation Needs Study