SAN FRANCISCO— A number of hotels in Northern California have been stalled recently due to the economic downturn, according to the San Francisco Chronicle. The list of projects on hold includes the planned 140-room Hotel and Conference Center in Half Moon Bay, and the 279-room Creekside Center hotel planned in Roseville, Alan Reay, president/Atlas Hospitality Group, told the Chronicle. Reay said the decline in development statewide is more serious than he expected, especially in Northern California. Developers are especially nervous about the persistent downward trend in hotel-occupancy rates, which haven been plummeting in the region. There was a 12% drop in occupancy Napa and Sonoma counties in June, and a 20.9% drop in the San Francisco airport region, according to new figures from PKF. Overall, Northern California saw occupancy levels fall to 74.9% in June from 87.4% last year. In Southern California the economy is stronger and counties including Los Angeles, San Diego and Orange are faring well by comparison, according to an Atlas report. SOURCE: San Francisco Chronicle
