Feb. 25, 2026

Our travel and hospitality community has much to celebrate this month. Two weeks ago, our streets were filled once again with Billy Strings fans who supported our local businesses during the winter shoulder season, while sold-out performances from the Asheville Symphony, NC Stage, Wortham Performing Arts Center, and Asheville Community Theatre added to the buzz around town.

Last week, Asheville made international headlines when Treasury Secretary Scott Bessent announced that 500 leaders from around the globe will travel to our community for the G20 Finance Track. This event is expected to generate an estimated direct spending of up to $2 million, benefiting local businesses.

Earlier this week, the Asheville area hospitality scene shined brightly at the North Carolina Restaurant and Lodging Association (NCRLA)’s annual statewide Stars of the Industry awards ceremony. Buncombe County Tourism Development Authority (BCTDA) board member and COO of Asheville Hotel Group Brenda Durden, Chef and Owner of The Market Place William Dissen, Server at Soprana Rooftop Cucina Chris Lovegood, and Guest Service Supervisor of the Embassy Suites Thomas Barton were all recognized for their invaluable service within the industry.

And just this afternoon, USA Today announced the River Arts District as the Readers' Choice #1 Arts District in America.

These triumphs, plus the lodging performance and project milestones shared at today’s board meeting, paint a clear picture of forward momentum. Asheville and Buncombe County remain poised as a competitive destination, and that does not happen without the sustained effort of every partner in this industry.

The tourism development authority’s role is to support that effort through investment in community capital projects, inspiring leisure and business visitors to our region, and ongoing collaboration across the visitor economy. We hope you will celebrate each win as they happen. Tonight, partners are welcome to celebrate the resurgence of RAD creatives at The Radical at 6:30 p.m.

Other takeaways from the February 2026 board meeting include:

• January lodging occupancy and demand;
• 2025 End-of-year lodging performance report detailing year-over-year hotel and vacation rental metrics, performance in comparable markets, and observations of the U.S. travel market;
• Kyle Highberg was appointed to the BCTDA by Asheville City Council;
• An annual update on the authority's Tourism Product Development Fund (TPDF) and Legacy Investment from Tourism (LIFT) Fund community capital projects.

There are two ways to immediately get more involved:

Join us on Monday at Embassy Suites for a lunch and learn on major sporting events, including the PGA TOUR’s Biltmore Championship Asheville, the BIG South Baseball Tournament, and the NAIA National Men’s & Women’s Outdoor Track Championship.

We are conducting our annual partner survey to help shape the work that we do for the community and on behalf of our nearly 2,000 partners. Please take a moment to share your thoughts with us.

January hotel occupancy was 43%, down 18 points from 2025 and up one point from 2024. Hotel demand was down 27% from 2025, when 18% of roomnights were supported by the TSA FEMA voucher program for displaced residents, and up 5% from 2024.

January vacation rental occupancy was 38%, down five points from 2025 and up three points from 2024. It is important to note that there are 8% fewer properties available on the market last year. Vacation rental demand was down 5% from 2025 and flat to 2024.

Demand for overnight stays in Buncombe County continued its rebound from Helene in 2025. Hotels accounted for 56% of total room supply—their largest share since 2021—as the hotel market stabilized and the number of available vacation rentals continued to decline. For the first time since the pandemic, hotels account for more than 60% of all lodging sales in the county.

Hotel Supply & Demand Trends

Supply peaked in July 2025 following the reopening of properties that had been closed since Helene, and just before the closure of a few other properties. The December room count was nearly identical to the annual average of 9,939 rooms. Despite this stabilization, the total number of hotel rooms in Buncombe County still ranks below seven of its nine comparable markets.

Demand in the first half of the year was significantly impacted by Helene-related stays, including displaced residents and recovery crews. This makes the second half of 2025 a more accurate reflection of true leisure travel recovery.

Vacation Rental Supply & Demand Trends

Supply continued to decline on an annual basis—a trend that began prior to Helene and has continued since. The number of vacation rental rooms available in December reached its highest level since February 2025, suggesting a modest late-year uptick.

Demand for vacation rentals was slightly down from 2024, following the overall contraction in supply.

Competitive Market Performance

Buncombe County hotels outperformed most of its nine comparative markets in occupancy, average daily rate (ADR), and revenue per available room (RevPAR).

Buncombe County vacation rental performance versus other regional markets in 2025 was a mixed bag, with occupancy below that of every other comp market except Wilmington.

Observations of the U.S. Travel Market

Winter Weather Impact: Weekend winter storms across much of the eastern U.S. in January dampened travel activity, particularly around the MLK, Jr. holiday weekend, including here in Asheville.

Competition for Domestic Travelers Surge as International Travel to the U.S. Remains Weak: International travel to the U.S. remains weak, with markets such as Canada experiencing notable declines in winter visitation. While the upcoming World Cup was expected to drive a significant boost in inbound travel, major concerns now surround demand amid political uncertainty and the high cost of tickets.

A Divided Travel Economy: Industry experts forecast a "K-shaped" travel economy for 2026. Domestic travel demand is increasingly driven by luxury and higher-income travelers, while middle and lower-income travelers are cutting back on discretionary spending and traveling less frequently.

Consumer Confidence at an 11-Year Low: The Conference Board's consumer confidence index fell to its lowest monthly level since 2014 in January. Consumer confidence is particularly low among Baby Boomers and Gen X, two of the most significant travel-spending demographics.

Travel Policy in Flux: Travel remains caught in federal budget negotiations. Over the weekend, the Trump Administration announced a pause on enrollment in TSA PreCheck and Global Entry. Following strong national advocacy, TSA PreCheck was reinstated within 24 hour—but Global Entry enrollment remains stalled.

Following his appointment by the Asheville City Council, Highberg will complete Matthew Lehman’s term through August 2027. Vice President of Hospitality at Biltmore Farms, Highberg, fills the seat of a hotel operator of more than 101 rooms. He is also on the LIFT Fund committee and is eligible to be appointed for a second three-year term.

In the annual TPDF and LIFT community investment update, staff reported on 39 active projects, with 27 funded through TPDF and 12 through the LIFT Fund. Since 2001, the Authority has invested nearly $110 million through TPDF and the LIFT Fund, supporting 85 investments across 55 community assets in Buncombe County.

Common Themes from the Annual Report

Hurricane Helene Continues to Shape Project Timelines

Storm impacts remain the most significant factor influencing project timelines, sequencing, and delivery—with effects ranging from physical damage and redesign needs to prolonged access constraints and shifts in staff capacity as partners prioritized regional recovery.

Delivery Timelines Diverge by Project Type

Built facilities have generally progressed on more predictable timelines and, in many cases, are already operational or nearing completion. Outdoor infrastructure projects are taking longer, facing greater delays due to storm recovery, permitting complexity, and the need to coordinate across multiple agencies.

Most Delays are Procedural, Not Structural

External coordination—including state and federal processes, recovery requirements, and permitting—drives most timeline shifts.

A Small Number of Projects Carry More Uncertainty

Uncertainty is tied to factors like building remediation timelines, site coordination dependencies, and evolving project scopes.

Two Projects are Not Moving Forward as Originally Proposed

Two projects are no longer moving forward as originally proposed, and both grantees have voluntarily relinquished their awards.

Six Projects Reached Completion This Past Year

Six projects were successfully completed in 2025. These milestones reflect the continued commitment of grantees to advance community investments even amid a difficult recovery environment. FEMA funds for the City aim to rebuild the Asheville Municipal Golf Course to its pre-Helene condition following the renovation supported by a 2022 TPDF investment.

Eight projects are expected to reach completion this year, with four expected in the next two months. Another 14 are expected to be completed next year, and four more by 2029.

During SoCon Week in Asheville, Explore Asheville invites industry partners to a lunch & learn focused on upcoming sporting events, including the BIG South Baseball Tournament, the NAIA National Men’s & Women’s Outdoor Track Championship, the PGA TOUR’s Biltmore Championship Asheville, and more that are set to bring national attention and meaningful opportunities to our community.

Hear directly from the event leadership teams about what’s ahead, key timelines, and how local partners can engage as opportunities come online.

Seating is limited, and advance registration is required.

Explore Asheville is inviting partners to share feedback through our 2026 Partner Survey. Your responses will directly inform how we prioritize partnership programs, resources, and engagement moving forward.

We ask for at least one response per organization. Additional responses from your team are welcome and will help us hear from a range of roles and perspectives across the partner community.

As a thank-you, all participants can opt in for the opportunity to receive one of five $50 gift cards to a local travel and hospitality business of their choice.

MORE INFORMATION & NEXT MEETING OF BCTDA

Find documents from the February 25 board meeting HERE >>

THE NEXT BCTDA BOARD MEETING
Thursday, March 26 | 9–11 a.m.
Explore Asheville | 27 College Place
Details to be posted HERE >>

2026 ANNUAL PLANNING SESSION
Friday, March 27, 2026 | 9 am–4 pm
Details to be posted HERE >>

Delivering Balanced 
& Sustainable Growth

Encouraging Safe & Responsible Travel 

Engaging & Inviting More Diverse Audiences

Promoting & Supporting Asheville's
Creative Spirit