Some Like It Hot, so Vegas Hotel Rates Rise

The average room rate paid by tourists at the Strip’s hotels in July, August and September was $180, compared with $158 for the same period in 1999, an increase of more than 13%.

The average rates ranged from $87 a night at Circus Circus to $316 at the Venetian, according to a recent report by the Wall Street investment firm Bear, Stearns & Co.

The rates reflect the prices quoted directly by the hotels to independent travelers, as opposed to visitors who were booked in conjunction with a convention, package tour or wholesaler, said Marc Falcone, a Bear, Stearns analyst.

Among the more expensive rooms: Four Seasons, $295; New York-New York, $252; Bellagio, $249; Caesars Palace, $225; Aladdin, $220; and Mandalay Bay, $213. Among the cheaper rates: Stardust, $99; Tropicana, $123; Excalibur and Luxor, $128; MGM Grand, $147; and Bally’s, $149.

Room rates for New Year’s Eve weekend are expected to run about two to three times above normal, Strip hotel operators report. Last year, hotels quoted rates as much as 10 times above normal, but prices fell at the 11th hour as bookings dropped amid the high rates and Y2K fears.