Canadian hotels posted their biggest RevPAR gain since June 2023

Canadian hotels had their strongest month in more than three years, according to September figures from CoStar.

National occupancy reached 77.9%, up 5.0% on September 2025 and the highest year-on-year rise since May 2023. Average daily rate was CAD 257.76, up 8.5%. RevPAR came in at CAD 200.79, up 14.0%, which CoStar describes as the largest year-on-year RevPAR gain since June 2023.

Quebec led every one of the three measures. Occupancy there rose 10.4% to 80.9%, ADR rose 10.2% to CAD 267.15, and RevPAR rose 21.6% to CAD 216.20.

Among the major markets, Montreal recorded both the highest occupancy and the highest RevPAR increase. Occupancy was up 13.0% to 84.3% and RevPAR up 25.5% to CAD 232.65. CoStar attributes the lift to a dense events calendar: the FIP World Congress of Pharmacy and Pharmaceutical Sciences, the Rush reunion tour and POP Montreal all landed in the month.

Vancouver had the largest rate increase of the major markets, with ADR up 11.5% to CAD 373.42.

Read the mix, not just the headline

Most of the gain is rate. ADR rose 8.5% while occupancy rose 5.0%, so Canadian operators were able to hold price into rising demand rather than discount for volume. That is the healthier version of a good month.

The Montreal numbers are a different story. A 25.5% RevPAR jump built on three named events in one month is compression, not a structural shift in demand. Anyone forecasting next September off this one should first check which of those events repeat and which do not. A pharmacy world congress does not come back annually, and neither does a reunion tour.

It is also worth noting what the release does not contain. There are no executive quotes and no comparison against 2019, only year-on-year change. September 2025 was a soft month in parts of Canada, which flatters the percentages.

What it means for operators

For revenue managers running next year's budget, the practical use of this data is as a sanity check on pacing, not as a forecast input on its own.

If your RMS or PMS is building next September off this September, strip the event compression out of the comparison first. The markets where the gain came mostly from rate, rather than from a conference calendar, are the ones where the pricing power is likely to still be there in twelve months.

For properties outside Quebec, the national average is doing a lot of work here. A 14% national RevPAR rise with Quebec up 21.6% means other provinces came in meaningfully below the headline. Pull your own market before you use the national figure in an owner report.

CoStar lists Haley Luther, senior communications manager, as the contact for additional data requests.