Chicago Sets Tourism Record

Tourism sets new record By Kathy Bergen Tribune staff reporter Published June 2, 2006 Travel to Chicago rose to a record level in 2005, despite weakness in the convention business. Slightly more than 33 million domestic and overseas visitors came to town, a 3.5 percent increase over 2004, when the city first squeaked past the record set in 2000. Precise economic impact figures for 2005 will not be available until the fall, according to the Chicago Convention and Tourism Bureau and the Chicago Office of Tourism, which jointly issued the visitor data Thursday. Once again, leisure travel was the biggest driver, while business and overseas travel remained below peak levels. The city drew 18.2 million U.S. vacationers, a 2.3 percent increase over 2004, when this segment first rebounded beyond pre-Sept. 11 levels. Domestic business travel grew 4.3 percent, to 13.8 million visitors, bringing this segment closer to the 2002 peak of nearly 14 million. The rebound in overseas visitors continued, with a 15 percent increase, to 1.1 million travelers, though that's still short of the 1.35 million in 2000. The record number of visitors overall translated into good news for the hotel industry, which saw a healthy occupancy rate of 72.2 percent, up 2.3 percent over 2004. And the weekend occupancy rate rose 1 percent, to a robust 80.6 percent. "This reflects a shift in the city's historic market, which had been more midweek," said Ted Mandigo, an Elmhurst-based hotel consultant. Weekend packages, lower weekend room rates and a tendency for some trade shows to incorporate a weekend day were among the factors pushing weekend volume, he said. The city attracted record numbers of visitors last year in spite of the fact that McCormick Place had its weakest year for conventions in at least five years. The massive hall hosted 71 trade, consumer and public shows, attracting 2.17 million people to shows that used 10.33 million square feet of exhibit space. But the convention bureau is predicting a banner year in 2006, noting a full calendar and strong attendance so far. And while the Travel Industry Association of America is predicting flat travel for 2006, the bureau and the city's tourism office say early indicators suggest the city will see another increase in visitors this year. Through May, travelers used 132,500 room nights, up 14.8 percent over the same period in 2005, they said. "Millennium Park has elevated Chicago's profile worldwide," said Dorothy Coyle, director of the Chicago Office of Tourism.>