METRO Magazine Logo
MenuMENU
SearchSEARCH

Cities with rail-to-airport connection boost hotel revenue

New study shows that higher revenue per room translates to a potential $313 million in revenue per year for “rail cities” — cities which have direct rail access to airport terminals.

November 20, 2013
Cities with rail-to-airport connection boost hotel revenue

“Rail cities” represented in the report include Atlanta, which has a major multimodal transportation infrastructure option for both residents and travelers.
Photo courtesy DeKalb

3 min to read


“Rail cities” represented in the report include Atlanta, which has a major multimodal transportation infrastructure option for both residents and travelers.Photo courtesy DeKalb

Hotels in cities with direct rail access from downtown to airport terminals receive nearly 11% more revenue per room than hotels in cities without a rail airport connection, according to a study released by the American Public Transportation Association (APTA) and the U.S. Travel Association.

“Clearly investment in local rail systems not only benefits residents, but drives significant economic growth in the travel and hospitality industries,” said APTA President/CEO Michael Melaniphy. “For our nation’s great cities to be more competitive and command higher hotel room rates, we must seize the opportunity to invest in our local rail systems and interconnect these high-demand airports to our American cities’ world-class amenities.”

Ad Loading...

The jointly released study, “A New Partnership: Rail Transit and Convention Growth,” shows that higher revenue per room translates to a potential $313 million in revenue per year for “rail cities” — cities which have direct rail access to airport terminals. In the post-recession period, rail cities commanded 16% higher revenue per room than hotels in non-rail cities.

According to the study, hotel properties located within ¼ mile of a rail station performed even better than those outside of that radius. These hotel properties averaged a nearly 50% higher daily room rate and a 12.5% higher occupancy rate.

“Rail cities” represented in the report include Atlanta; Chicago; Washington, D.C.; Minneapolis; Portland, Ore.; and San Francisco — all of which have major multimodal transportation infrastructure options for both residents and travelers. These six “rail cities” were compared to hotel performance in popular convention cities that lacked a direct rail connection to the airport terminal: Las Vegas; New Orleans; Orlando, Fla.; Sacramento, Calif.; and Tampa, Fla.

The difference in performance between hotels in “rail cities” and those without rail public transportation was also apparent with the luxury and upscale hotel properties, which are frequently preferred by business travelers and convention attendees. Luxury hotels can command a 12.4% higher average daily room rate as compared to a non-rail city and also boast a 5.7% higher occupancy rate.

Business meetings and conventions are not limited to American attendees. In fact, international travelers accounted for 14.6% of total business travel spending in 2012, which generated nearly $38 billion, supported 332,000 American jobs and generated $5.7 billion in tax revenue, according to the study. Intermodal infrastructure that provides direct public transit service from airports to cities offers a competitive edge in winning global business meetings, conventions and events, according the study.

Ad Loading...

“Looking forward, it is essential that America add balance to our overall intercity passenger travel options,” said Melaniphy. “Highway and airports alone will not have the capacity or the dexterity to serve the growing travel markets of the future. Development of higher-performing intercity passenger rail corridors will be critical to America’s future. There already are success stories all over the world. International visitors know how to use these systems. Destinations become stronger. Travel and tourism become still more robust.”

More Management

Managementby StaffMarch 19, 2026

People Movement: The Latest from TARTA, STV, and More

METRO’s People Movement highlights the latest leadership changes, promotions, and personnel news across the public transit, motorcoach, and people mobility sectors.

Read More →
A BART railcar
Managementby StaffMarch 19, 2026

BART Monetizes Empty Parking With New Online Leasing Tool

BART began offering select parking lots to non-BART riders to generate new revenue to help address its FY27 $376M operating budget deficit brought on by remote work.

Read More →
MTA Chair & CEO Janno Lieber sits with a customer service employee and takes calls.
Managementby Elora HaynesMarch 19, 2026

Transit Agencies Nationwide Celebrate 2026 National Transit Employee Appreciation Day

Agencies across the U.S. honored transit workers on March 18, recognizing the essential roles they play in keeping communities moving daily.

Read More →
Ad Loading...
Cover for METROspectives with Inez Evans Benson
ManagementMarch 18, 2026

Inez Evans-Benson on Leadership and the Future of Transportation

Drawing on decades of industry experience, Evans-Benson offered insights into the differences between the two, along with tips for better customer engagement and more.

Read More →
An RTC of Washoe County bus driving down Virginia Street.
Managementby StaffMarch 18, 2026

Keolis Lands 3 Contract Renewals

The renewals include continued operations at Fort Lauderdale-Hollywood International Airport in Florida; the PRTC in Virginia; and RTC Washoe in Nevada.  

Read More →
A MARTA employee using the new Better Breeze fare ticket machines.
Managementby StaffMarch 17, 2026

MARTA’s New 'Better Breeze' Fare System Nears Launch

The new system introduces tap-to-pay, touchscreen kiosks, and updated Breeze cards, with both old and new systems running through May.

Read More →
Ad Loading...
A wide angle view of two MTA buses with three people walking between them.
Managementby StaffMarch 16, 2026

Proposed Auto Insurance Reform Would Save New York’s MTA Millions Annually

The governor’s proposed auto insurance reforms could save the agency $48 million annually by limiting payouts in crashes where buses are not primarily at fault.

Read More →
paratransit bus
SponsoredMarch 16, 2026

Measuring the True Cost of Paratransit Fleets

What truly drives the cost of a paratransit fleet? Beyond the purchase price, seven operational factors quietly determine maintenance frequency, downtime, and long-term service reliability. This whitepaper explores how these factors shape lifecycle cost and what agencies should evaluate when selecting paratransit vehicles.

Read More →
Cover photo for METROspectives with The Bus Coalition
Busby Alex RomanMarch 13, 2026

Inside The Bus Coalition’s Push for Stronger Federal Transit Investment

In this conversation, TBC’s Executive Director Ed Redfern, President Corey Aldridge, and Washington Representative Joel Rubin outline the coalition’s key policy priorities, the challenges facing transit agencies, and how industry stakeholders can work together to strengthen the voice of bus transit at the federal level.

Read More →
Ad Loading...
Amanda Wanke
Managementby StaffMarch 13, 2026

Des Moines DART CEO Joins Minneapolis Metro Transit

Amanda Wanke, who has worked at DART for 10 years, including the past 2½ years as CEO, will join Metro Transit as deputy chief operating officer, operations administration.

Read More →