Vancouver was the top-performing Canadian hotel market in 2025 according to a new report from Avison Young, which is good news for Victoria’s tourism industry heading into 2026.
The report stated that Vancouver had a 78.4% occupancy rate, which means nearly eight in 10 rooms in Vancouver were filled on any given night. The average daily rate (ADR) was $284, with a revenue per available room (RevPAR) of $223—this measures how much revenue a hotel generates per room, occupied or not.
Compared to 2024, these numbers have barely moved for Vancouver, which reveals the market has stabilized at this high level rather than declined.
While the market has stabilized in Vancouver, the rest of Canada is trying to catch up. Nationally, the average occupancy rate sits at 66.1% with a RevPAR of $143—a stark contrast to Vancouver’s numbers.
Toronto, Canada’s second strongest market, had a 75.6% occupancy rate, an average daily rate of $261 and revenue per room at $197, which are still noticeably lower than Vancouver’s metrics.
Across Canada, luxury hotels saw an 8.7% RevPAR growth compared to the national average of 4.2%, with an ADR of $415.
This reflects a trend that travellers are opting for a more premium experience when they travel.
Since Victoria’s hotel market skews heavily towards travellers searching for a high-end getaway experience, this surge in luxury hotel demand is a promising sign for the city.
Last summer, Destination Greater Victoria reported the strongest summer for hotels in the region over the last decade.
Greater Victoria had a 79.9% occupancy rate in 2025. The busiest month for hotels in Victoria was August, with 94.% of the city’s rooms filled, an increase of more than 4% compared to August 2024.
With options like the Delta Victoria and Fairmont Empress, complete with boutique harbour views and upscale dining options, and the Oak Bay Beach Hotel which offers stunning coastal views and a relaxed atmosphere, Victoria is already well-positioned to capture exactly what is trending in travel for 2026.
