The US hotel industry faces a challenging year ahead, with forecasts indicating zero revenue growth for 2025.

Analysts from CoStar and Tourism Economics have revised their projections, now expecting a slight 0.1% decline in revenue per available room (RevPAR) for the year.

This adjustment reflects a convergence of economic pressures and shifting travel behaviours.

Economic pressures Impacting hotel performance

Several economic factors are contributing to the subdued outlook for the hotel industry. The U.S. economy is projected to grow at a modest rate of 1.5% in 2025, down from previous forecasts of 1.9%.

This slowdown is attributed to persistent inflationary pressures, with the Consumer Price Index (CPI) expected to rise by 2.9% in 2025, impacting consumer spending and travel budgets.

High interest rates continue to affect both consumer and business spending.

While the Federal Reserve’s recent rate cuts may provide some relief, the cumulative effect of elevated borrowing costs over the past year has dampened investment and discretionary spending, including travel.

Shifts in travel demand and consumer behaviour

The hotel industry is witnessing a shift in travel demand, with luxury and upscale properties outperforming their midscale counterparts.

High-income travellers are maintaining their travel habits, opting for premium accommodations, while midscale hotels are experiencing declining demand and narrower profit margins.

Corporate travel, a significant revenue stream for hotels, remains below pre-pandemic levels. The rise of remote work and virtual meetings has reduced the need for business travel, impacting occupancy rates and group bookings.

In Washington, D.C., for instance, the deployment of National Guard troops in August 2025 led to a noticeable decline in tourist activity, including hotel occupancy, as visitors perceived the city as less safe.

Outlook for 2026 and beyond

Looking ahead, the hotel industry anticipates a modest recovery in 2026, with projections indicating a 0.8% increase in RevPAR. This optimism is based on expectations of improved economic conditions, including stronger GDP growth and a stabilisation of inflation rates.

However, the pace of recovery remains uncertain, influenced by factors such as geopolitical events, changes in consumer confidence, and the evolving landscape of travel preferences.

Hotels will need to adapt to these dynamics, focusing on enhancing guest experiences and operational efficiencies to navigate the challenges ahead.

Ultimately, while the U.S. hotel industry faces a challenging 2025 with zero revenue growth projections, strategic adaptations and a focus on high-end market segments may provide avenues for resilience and future growth.

Foo opens in Gourmet Village at Phoenix Palladium, Mumbai. With its bold Pan-Asian flavours and inventive small plates, Foo has evolved from a neighbourhood favourite into one of the city’s most recognisable dining destinations—equally at home hosting business lunches, family dinners, after-work drinks, or lively group celebrations. Its winning formula lies in pairing consistency with creativity, delivering experiences that feel familiar yet never predictable.

The Phoenix Palladium outpost reimagines Foo as Foo 2.0—a playful yet refined take on Asian modernity. Designed by Sarah Sham, the space flows organically, encouraging exploration while balancing pop hues with warm neutrals, sculptural lighting, and layered textures.

With 126 covers, the restaurant offers diverse seating: intimate two-seaters, patterned banquettes, pod-style booths lit with brass-accented lanterns, high tables, and a Private Dining Room. Thoughtful zoning through design and flooring creates distinct moods, from cosy nooks to lively communal spaces.

The new menu features dishes created just for this location, such as Spicy Tropical Salad – lettuce, avocado, yam bean, grapefruit, orange, spicy sesame dressing, Fiery Cottage Cheese Maki – Vegetarian roll with takuan, avocado, sriracha, Spicy Chicken Maki – scallion, cream cheese, fiery Thai sauce, Peking Wontons & Prawns Wontons – zucchini, pok choy, water chestnut in chilli sauce, rolled duck pancakes – with plum, mustard, and chilli oil sauces.

Guests will still find bestsellers like the Truffle Togarashi Black Rice Maki, Spicy Tuna Maki, indulgent dumplings such as Wasabi Truffle Edamame and Sriracha Chicken, big plates like the Foo Yellow Curry and Foo Blue Butter Fried Rice, and the dramatic Mount Foo-ji dessert platter.

Speaking about the launch, brothers Keenan Tham & Ryan Tham, Founders of Pebble Street Hospitality, share “Foo Phoenix Palladium is our vision of what Foo 2.0 looks and feels like. It’s a natural evolution of the brand, more immersive, more expressive, and designed for a new generation of diners. We’ve kept everything people love about Foo, but reimagined the experience to feel bolder, more dynamic, and unmistakably fresh.”

The bar debuts an exclusive cocktail menu for Phoenix Palladium, featuring: Yuzu T&T – tequila, cucumber, yuzu, basil, TNT- tequila, grapefruit, jalapeño shrub, sea salt, Fiery Espresso – vodka, caramel coffee reduction, chilli tincture, kumquat marmalade, Coco Rise – rum, coconut, Aperol, yuzu, lemon, Tropical G&T – gin, mace, pineapple, honey shrub (upgrade to Monkey 47 available), Sakura G&T – pink gin, rosella, elderflower, rose.

Radisson Hotel Group proudly announces the reopening of Radisson Blu Resort & Spa, Çeşme, a flagship beachfront property on Türkiye’s Aegean coast. The resort reopened its doors on July 3^rd, after a comprehensive nine-month renovation offering a completely  refreshed guest experience with elevated comfort, upgraded design, and environmentally conscious enhancements.

Discover the timeless charm of Çeşme

A beloved Aegean destination, Çeşme captivates visitors with its laid-back elegance and activities for every type of traveler. Known for its golden beaches, thermal waters, and crystalline sea, the region offers a perfect mix of relaxation and adventure. Families will love Ilıca’s shallow, kid-friendly shores, while surf enthusiasts can ride the winds in Alaçatı, one of the world’s top windsurfing spots. With its cobblestone streets, stylish cafés, artisan boutiques, and lively summer nights, Alaçatı also charms couples and culture seekers alike. From vineyard visits in Urla to the tranquil beauty of Germiyan Village, Çeşme is an inspiring destination where every moment feels memorable.

A new chapter on the Aegean coast

The extensive renovation covered all key areas of the property, including guest rooms, bathrooms, exterior façades, public spaces, restaurants and bars, aligning with Radisson Hotel Group’s “Brilliant Basics” standards. Every detail was thoughtfully redesigned to deliver a seamless and enjoyable guest experience; from premium beds and acoustic insulation to state-of-the-art bathroom systems, smart in-room entertainment, and high-speed internet access, all developed exclusively for the hotel, ensuring a enjoyable and effortless stay.

Designed with purpose

Sustainability played a central role in the resort’s transformation. Environmentally friendly products and advanced equipment were used throughout the renovation, reflecting the Group’s commitment to sustainability. The landscaped gardens and surrounding outdoor spaces were also redesigned using eco-conscious materials to create a refreshed, natural ambiance.

Safety and comfort were top priorities during the transformation. The resort’s fire safety systems were upgraded and certified by accredited organizations, while new acoustic panels were installed across rooms and common areas to improve guest privacy and tranquility.

“We are delighted to welcome guests back to Radisson Blu Resort & Spa, Çeşme with a revitalized look and renewed spirit. This renovation reflects our dedication to offering elevated experiences, contemporary design, and thoughtful hospitality on one of Türkiye’s most beautiful coastlines.” says Kadir Alpat General Manager of Radisson Blu Resort & Spa Çeşme.

Dining experiences inspired by the Aegean breeze

Guests can begin their day at Element Restaurant, the hotel’s main dining venue, with an open buffet breakfast offering a variety of international and local flavors in a bright, welcoming atmosphere.

For lighter fare or a relaxing coffee break, Citrus Lobby Bar offers a cozy setting with a selection of pastries, teas, fresh juices, and signature cocktails throughout the day.

During the summer season, guests can enjoy fresh, seasonal dishes at Sands Beach Bar, serving lunch and dinner by the sea in a laid-back yet elegant setting. For refreshing drinks and light snacks by the pool, Aqua Pool Bar provides the perfect spot to unwind under the Aegean sun.

A spa & wellness sanctuary

With a 3,500 m² spa and wellness center, the resort offers a year-round oasis of calm and relaxation. Guests can enjoy redesigned indoor and outdoor pools, thermal areas, a modern fitness center, and treatment rooms designed for both rejuvenation and indulgence. The revitalized spa experience places well-being at the heart of the Çeşme getaway.

Seamless meetings & memorable events

Radisson Blu Resort & Spa, Çeşme offers various indoor and outdoor venues for meetings, events, and seaside weddings. The property features a 585 m² divisible ballroom, seven flexible, well-equipped meeting rooms ranging from 81 to 100 m², and charming outdoor spaces perfect for ceremonies and receptions. All venues are supported by modern audiovisual technology, high-speed internet, and an on-site business center for added convenience.

For more information about Radisson Blu Resort & Spa, Çeşme and to book, click here.