Calculate RevPAR (Revenue Per Available Room) using room revenue and available rooms or ADR and occupancy. Essential hotel KPI.
Revenue Per Available Room (RevPAR) is arguably the single most important KPI in hotel revenue management. It combines two critical metrics — Average Daily Rate and Occupancy Rate — into one number that reflects how well a hotel monetises its entire inventory, not just the rooms it sells.
You can calculate RevPAR two ways: divide total room revenue by total available rooms, or multiply ADR by occupancy rate. Both methods produce the same result. This calculator supports both approaches so you can use whichever data you have on hand.
RevPAR is the standard benchmark used by STR, brand companies, asset managers, and lenders to compare hotel performance across properties and markets. A rising RevPAR indicates improving top-line health, making it a critical metric for investment decisions and management performance evaluations.
Restaurant owners, hotel managers, and event coordinators depend on accurate revpar calculator — revenue per available room numbers to maintain profitability while delivering exceptional guest experiences. Return to this tool whenever menu prices, occupancy rates, or staffing levels shift to keep your operations on track.
Unlike ADR or occupancy alone, RevPAR captures pricing and demand simultaneously. A hotel can have a high ADR but low occupancy (or vice versa) and still underperform on RevPAR. This makes RevPAR the most balanced indicator of room revenue performance and the preferred metric for competitive benchmarking. Instant results let you test multiple scenarios so you can align pricing, staffing, and inventory decisions with current demand and cost pressures.
RevPAR = Total Room Revenue ÷ Total Rooms Available OR RevPAR = ADR × Occupancy Rate (%/100)
Result: $140.00
$42,000 room revenue ÷ 300 available rooms = $140.00 RevPAR. Equivalently, if ADR is $200 and occupancy is 70%, then $200 × 0.70 = $140.00.
RevPAR has become the universal currency of hotel performance measurement because it balances the tension between rate and volume. Revenue managers aim to maximize RevPAR, not just ADR or occupancy independently, because the optimal strategy often involves trade-offs between the two.
Hotel investors and appraisers rely heavily on RevPAR when valuing properties. A hotel's value is often expressed as a multiple of RevPAR or revenue per key. Higher RevPAR translates directly into higher property valuations, lower cap rates, and more favorable financing terms.
While RevPAR is powerful, it ignores non-room revenue, distribution costs, and operating expenses. A hotel with high RevPAR but excessive OTA commissions may net less profit than a lower-RevPAR property with strong direct bookings. Supplementing RevPAR with net RevPAR and GOPPAR provides a more complete picture.
RevPAR benchmarks vary widely. A luxury urban hotel might target $250+ while a limited-service roadside property might achieve $60-$80. Use your STR comp set RevPAR as the most relevant benchmark.
Both formulas give the same result. Use revenue ÷ available rooms when you have aggregate data. Use ADR × occupancy when comparing rate-driven versus occupancy-driven performance.
No. RevPAR only measures room revenue performance. TRevPAR (Total Revenue Per Available Room) includes food & beverage, spa, parking, and other ancillary revenue streams.
RevPAR measures top-line room revenue efficiency. It doesn't account for costs. GOPPAR (Gross Operating Profit Per Available Room) is better for profitability analysis because it deducts operating expenses.
Yes. If occupancy rises enough to offset the ADR decline, RevPAR can increase. For example, dropping ADR by $10 but gaining 15 points of occupancy can yield higher RevPAR.
RevPAR Generating Index divides your RevPAR by the comp set average RevPAR and multiplies by 100. An RGI above 100 means you're gaining more than your fair share of market revenue.