Host Hotels Q3 Comparable RevPAR Rises 8.8%

Host Hotels & Resorts Inc. (NASDAQ: HST) posted stronger comparable hotel operations in the third quarter of 2026, with higher room rates and occupancy lifting comparable RevPAR by 8.8% from a year earlier. Comparable hotel EBITDA rose 11.3%, although consolidated net income declined sharply as corporate-level and property-sale-related items shifted from the prior-year period.

For the quarter ended September 30, comparable RevPAR increased to $219.50 from $201.71. The average daily rate rose 5.7% to $305.20, while occupancy increased to 71.9% from 69.8%. Comparable hotel revenue advanced 7.4% to $1.31 billion, and comparable hotel EBITDA increased to $330.9 million from $297.3 million.

Consolidated revenue, which includes non-comparable properties and other items, increased 1.1% to $1.35 billion. Net income fell to $70.7 million from $162.6 million, while total EBITDA declined to $324.4 million from $428.3 million. The comparison included a shift in the line covering gains on property sales and corporate-level income and expenses, which contributed EBITDA of $104.2 million in the third quarter of 2025 but reduced EBITDA by $13.7 million in the latest period.

Property performance

Maui continued to recover from the 2023 wildfires, though Host said the timing of a full recovery remains uncertain. Third-quarter RevPAR at its three Maui properties rose 13.5% to $484.92 as occupancy increased to 76.1% from 69.9% and the average room rate reached $637.25. Maui hotel EBITDA increased to $24.5 million from $19.9 million.

Several other markets recorded meaningful operating gains. Washington, D.C., central business district RevPAR increased 25.9%, while comparable hotel EBITDA rose to $17.3 million from $13.9 million. New York RevPAR grew 10.2% and hotel EBITDA increased to $38.2 million from $34.6 million. San Francisco and San Jose generated hotel EBITDA of $16.7 million, up from $12.1 million, as RevPAR rose 9.3%.

Florida Gulf Coast properties returned to positive hotel EBITDA of $1.9 million from a $2.2 million loss, supported by higher occupancy and a 20.6% increase in RevPAR. Austin also benefited from a substantial occupancy increase, lifting RevPAR 51.8% and hotel EBITDA to $3.7 million from $2.8 million.

Phoenix was the most significant weak spot. Occupancy dropped to 40.1% from 61.9%, sending RevPAR down 32.0% to $110.47. Hotel EBITDA declined to $500,000 from $10 million.

For the first nine months of 2026, comparable hotel RevPAR rose 6.6% to $237.21, while comparable hotel revenue increased 5.9% to $4.39 billion. Comparable hotel EBITDA advanced 8.3% to $1.33 billion. Consolidated net income increased to $812.5 million from $639.1 million, and total EBITDA rose to $1.60 billion from $1.44 billion.

Full-year forecast and acquisitions

Host’s full-year 2026 forecast assumes comparable hotel RevPAR growth of 6.75% and an approximately 80-basis-point increase in comparable hotel EBITDA margin. The company forecasts net income of $978 million, compared with $776 million in 2025, and comparable hotel EBITDA of $1.76 billion, up from $1.61 billion. Forecast Adjusted EBITDAre is $1.87 billion.

The outlook also calls for capital expenditures of approximately $550 million to $600 million. It includes an expected $18 million contribution to net income and Adjusted EBITDAre from condominium sales, as well as $7 million of business-interruption proceeds already received during 2026. No additional insurance proceeds are assumed.

In October, Host acquired the 308-room Renaissance Dallas at Plano Legacy West Hotel and the 195-room 1 Hotel Brooklyn Bridge for a combined $374 million. The forecast includes $3 million of net income and $6 million of EBITDA from the properties following their acquisition. Their comparable results are expected to enter Host’s comparable hotel set in the fourth quarter.

At September 30, Host had $1.49 billion in cash and $5.08 billion of consolidated debt. Its $1.5 billion revolving credit facility was fully available, and 80% of debt carried fixed rates. The credit-facility leverage ratio was 2.0 times at quarter-end and 2.3 times after adjusting for the two acquisitions and the third-quarter dividend payment, remaining below the permitted maximum of 7.25 times.

The forecast remains exposed to changes in the economic outlook, lodging demand, transaction timing, debt costs and the pace of Maui’s recovery. Host also excluded The Don CeSar and Alila Ventana Big Sur from full-year comparable results because of earlier business interruptions. Alila Ventana Big Sur closed temporarily in August because of evacuation mandates and regional wildfire activity before reopening in September.