Average Daily Rate ( ADR )
ADR declined slightly in 2024 due in large part to the increase in short-term rental supply . The trend continues to outpace the increase in demand , resulting in discounted rates to fill homes . The ADR for vacation homes in Big Sky varies greatly based on product type , size , and location , with the 2024 average for the entire market standing at $ 574 — down 6.4 % from 2023 . Much of this was driven by rate decreases in Q1 , which helped vacation rental managers remain competitive during a down Winter season . Natural Retreats delivered an ADR of $ 1,035 in 2024 — again , a factor of our portfolio of larger custom and unique homes appealing to luxury travelers . This represents a decrease of 14.5 % from 2023 — a result of higher-priced homes flexing more on rates than smaller , less expensive homes . This was done in order to remain competitive .
Revenue
RevPAR ( Revenue Per Available Room ) came in at $ 187 for the overall market for 2024 — a 10.1 % decline from 2023 . This is a result of both Rate and Occupancy declining . Natural Retreats delivered RevPAR of $ 276 , a 1.4 % decline from 2023 . Our smaller variance was due to the utilization of dynamic pricing , which matches rates with demand in real time and maximizes revenue for all homes . The result : A decline in ADR and an increase in Occupancy .
NATURAL RETREATS • BIG SKY • 2024 ANNUAL REVIEW
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