Las Vegas is facing a tepid end to its summer tourism season, with projections indicating a 1.8% decline in visitors for Labor Day weekend compared to last year. The Las Vegas Convention and Visitors Authority (LVCVA) estimates that around 320,000 visitors will arrive, down from 326,000 in 2024. This drop also translates to a 1% decrease in the economic impact, with spending expected to reach $673.6 million.
The region’s hotel room inventory has slightly reduced by 0.8%, and the expected occupancy rate is 88.5%, a decrease from last year’s figures. Despite having 149,410 available hotel rooms, there may be last-minute deals due to these lower projections.
Las Vegas, traditionally a top destination for Labor Day, has slipped to the 10th position according to AAA, trailing behind cities like Seattle, Orlando, and New York. This comes amid growing consumer uncertainty and criticisms over Las Vegas’s value proposition, with calls for reduced prices and a halt to resort fees.
Consumer confidence has been on a decline, affecting various sectors, including real estate. Home sales in Las Vegas fell by 5.8% in July compared to the previous year. International tourism, particularly from Canada, has also faced challenges, partly due to political tensions.
Hotel room rates for the weekend reflect this mixed economic sentiment. High-end properties maintain premium pricing, while some Strip hotels offer rates below $100, a rarity for holiday weekends. The average room rate for the weekend is projected at $267.60, slightly higher than last year’s $257.60. However, luxury accommodations like The Venetian and MGM’s Skylofts are priced over $1,200 per night, while more affordable options like Circus Circus offer rates as low as $68 per night.
