Given that the hotel industry's recovery is likely to slow, the focus on additional sources of revenue will only intensify, Baltin said. Growth of average quarterly revenue per available room, an industry measure of occupancies and rates, is expected to decline to 4.9 percent during the second half of 2012, down from an estimated 6.9 percent during the first six months of the year, according to a June 20 PKF report.
"What we're seeing is a more active pursuit for alternative revenue streams," said Shah, Hersha's president. "It's really picked up and has become much more of an integral part of our thinking today than it has been in the last several years. It's about diversifying and not putting all your eggs in one basket."