County’s tourism business begins to bounce back

Published 6:04 pm Wednesday, November 11, 2009

When the economy is good, Snohomish County’s proximity to Seattle translates into big tourism dollars.

But when the economy takes a dive, as it has over the last year, Snohomish County suffers even moreso for being close to King County, said Amy Spain, director of Snohomish County’s Tourism Bureau.

Tourists often escape to Snohomish County during good but hectic economic times. The county, particularly the southern cities, offer both a convenient location to Seattle and a decent drop in costs compared with pricey downtown. But the economic downturn has forced Seattle hotels to cut prices to Snohomish County levels.

“When times are bad, King County becomes directly competitive with Snohomish County,” Spain said.

However, in September, the county saw its first signs that the decline in tourism had hit bottom.

Hotel occupancy rates climbed 1.8 percent to 67.4 percent in September over the same month the previous year, according to a Smith Travel Research survey. It’s the first monthly increase this year compared with monthly rates in 2008.

The recession really took hold in September. For Snohomish County, the global dip was punctuated by a labor strike at the Boeing Co., which meant fewer supplier visits to the company’s Everett factory.

Both the average room rate and the amount of revenue generated per room dropped in September over the previous year. Average room rates were down almost 10 percent compared with September 2008 to $84.56. And revenue per room declined to $56.96.

King County’s occupancy rate remained higher than Snohomish County’s at 73.4 percent, but that’s down 5.6 percent over September 2008. Year-to-date, hotels in both counties have seen huge drops in revenue per room, with King County logging in a 20.1 percent decline and Snohomish County posting a 15 percent fall, according to Smith Travel Research.

Although tourism officials like Spain think it unlikely that the Winter Olympics will help Snohomish County hotels much, they’re somewhat hopeful that 2010 will be better than 2009.

Over the next six to nine months, Snohomish County will welcome several new hotels and tourist destinations, which could bring in visitors. In January, Holiday Inn Express opens a new location on 196th St. SW in Lynnwood. Later that same month, Staybridge Suites launches its second site in Washington state at Harbour Pointe in Mukilteo. And finally, in April, the Hilton Garden Inn will be ready for business in Bothell.

Snohomish County will add to its reputation as an aviation buff’s playground when Kilo-6 opens one of its new hangars at Paine Field. The center showcases historic aircraft and focuses on telling the story of aviation from 1927 to 1957. The full historic education center is expected to open in 2011. And next summer will see the opening of the Tulalip Tribes Hibulb Cultural Center and Natural History Preserve.

“I’m cautiously optimistic going into 2010,” Spain said.

Herald Writer Michelle Dunlop: 425-339-3454, dunlop@heraldnet.com.