Las Vegas is anticipating a lower influx of visitors for the upcoming Fourth of July holiday weekend, as indicated by the Las Vegas Convention and Visitors Authority (LVCVA).
The city is projected to welcome around 340,000 tourists over the three-day weekend, which translates to a hotel occupancy rate of 93.1 percent on Friday.
This figure shows a slight drop from last year when visitation reached 344,000 and the occupancy rate was higher at 94.4 percent.
Kevin Bagger, the Director of the LVCVA Research Center, pointed out that the decrease reflects ongoing trends and current market conditions.
Notably, there are 0.9 percent fewer hotel rooms available to guests compared to last year, totaling 150,909.
Another factor in the anticipated lower visitation numbers is the calendar; the Fourth of July in 2024 falls on a Thursday, making extended stays less likely compared to this year’s long weekend that begins on a Friday.
Despite the expected decline in visitor numbers and hotel occupancy, the LVCVA forecasts a rise in direct visitor spending.
Projected direct visitor spending is estimated to reach $449.5 million, marking a 3.7 percent increase from the previous year’s $433.5 million.
However, the total economic impact is expected to dip 0.2 percent, bringing it down to $715.7 million.
Amanda Bellarmino, an associate professor at the William F. Harrah College of Hospitality at UNLV, emphasized the volatility in consumer behavior in recent years due to factors including the COVID-19 pandemic, tariffs, and general consumer uncertainty.
She noted the current drop in gasoline prices, which are approximately 30 cents a gallon lower than last year’s prices, could also encourage spending.
Bellarmino explained that with inflation and grocery prices decreasing, consumers may find some relief in their spending habits this summer and into the fall.
She also pointed out that fluctuations in the stock market do not always reflect consumer spending tendencies.
With lower crime rates and the lowest murder rate in four years, Las Vegas is becoming increasingly attractive to consumers, a notable shift compared to previous years.
An interesting twist in the market is the impact of lower hotel room demand, which is allowing for more affordable rates for consumers.
A room rate survey conducted by the Review-Journal, utilizing data from hotels.com, revealed that rates are aligning more closely with typical monthly averages rather than the inflated prices often seen during three-day holiday weekends.
The average cost for a three-night stay from July 4-6 at 20 downtown Las Vegas hotels was found to be approximately $114.20 per night.
When considering 166 properties across Southern Nevada, including downtown, the average nightly rate was recorded at $202.75.
For perspective, the overall monthly average daily room rate for July 2024 is calculated to be $175.64, with downtown rates at about $61.54.
The highest hotel prices were associated with luxury accommodations.
Interestingly, hotels.com listed the Durango at $474 per night, exceeding the rates of prominent resorts like Bellagio at $378 and Wynn at $367.
Circa, the highest-priced downtown hotel, featured a nightly rate of $195.
Contrasting past holiday weekends, a number of hotels are offering rooms at rates below $100 per night, with 22 establishments across the Las Vegas Valley priced under that amount.
The most economical option for the weekend is the Thunderbird on Las Vegas Boulevard, offering rooms at a low $61 per night.
Despite the expected dip in visitor numbers, Las Vegas remains a favored destination for the holiday weekend.
Expert assessments, including insights from the personal finance website WalletHub, position Las Vegas as the premier Fourth of July destination this year, just ahead of New York City and Los Angeles.
WalletHub’s ranking considers numerous factors, including the number of Fourth of July celebrations, where Las Vegas ranks second, affordability, attractions, and safety.
The city’s reputation for festivities is supported by several resorts planning fireworks displays and local municipalities hosting fireworks shows and family gatherings.
Meanwhile, North Las Vegas occupies the 32nd spot on the WalletHub list, with Reno at 48 and Henderson at 64.
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