12:54 PM CDT on Sunday, September 18, 2005

Alan Sayre / Associated Press

BATON ROUGE -- Damage to hotels in the Gulf Coast states hit by Hurricane Katrina was far worse than originally projected with nearly 46,000 rooms now unavailable, an industry study group says.

According to Portsmouth, N.H.-based Lodging Econometrics, 286 hotels in Louisiana, Mississippi and Alabama sustained storm damage that required them to at least close some rooms. The group said computer modeling originally forecast a loss of 30,000 to 40,000 rooms.

The figures, which were based on surveys and interviews with hotel officials, are preliminary, the organization said.

"The number of reported closings is likely to rise as communications systems are restored and the extent of the damage will become better known as certain areas like New Orleans are reopened to travel, allowing hotel owners and manager and insurance adjusters to travel to the affected areas to make property assessments," said Lodging Econometrics President Patrick Ford.

As of Sept. 15, Louisiana had 160 closed hotels with 28,481 rooms. There were 93 closed hotels with 13,701 rooms in Mississippi and 33 closed hotels in Alabama with 3,650 rooms for an overall total in the region of 45,832 unavailable rooms, Lodging Econometrics.

In a tighter survey of coastal areas, which included eight parishes in Louisiana, three in Mississippi and two in Alabama, Lodging Econometrics said 25,242 affected rooms, or 70% of the rooms in the coastal area of Louisiana were out of service; 9,240 rooms or 76% were out in coastal Mississippi; and 3,389 rooms or 34% were closed in coastal Alabama.

Among convention-hosting cities, New Orleans had 24,972 rooms, or 70%, closed; Biloxi, Miss. reported 5,646 rooms, or 71%, unavailable; Gulfport, Miss. had 1,987, or 66%, out; and Mobile, Ala., lost 3,389 rooms, or 34% of that market.

The report also said the casino-hotel industry along the Mississippi Gulf Coast was largely wiped out. The Hard Rock Hotel and Casino, which had been scheduled to open this month, will have to be completely rebuilt, Lodging Econometrics said.

Eleven operating hotel-casinos with a total of 5,606 rooms are all closed to the public, the report said.

Fourteen hotels in the Katrina-affected area reported housing government, military and contract workers, and some refugees, the port said. Ford said accommodations in those hotels "are more like those of a dormitory than a hotel."

"Those hotels providing temporary shelter today will require significant refurbishing in the future before assuming normal operations and welcoming the traveling public," Ford said.

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On the Net: Lodging Econometrics: http://www.lodging-econometrics.com

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