The RJ reports today that:
3.2 million people visited Las Vegas in June, representing a 3.1 percent drop from the same month last year.
I, for one, am pretty pleased. Given how crappy this year is compared with last year, the fact that visitations are only down 3% strikes me as a positive.
I don’t dispute that it would be worse if the hotels had not lowered their room rates, but I’m not too concerned about lower room rates. Unless you’re a hotel company with a lot of debt, lower room rates generally drive traffic and are good for this town. In the long term, Vegas has problems if room rates stay very low, but the main issue right now is powering through these recessionary conditions.
Note that while occupancy was also down a couple of percent, it’s still nearly 90% in what is traditionally a slow, hot summer month:
The June occupancy rate was 89.3 percent, two points lower than the previous June.