Extended stay hotels continued their strong performance with a “terrific” third quarter as results across several metrics set all-time highs, especially for economy and mid-priced hotels, according to a report from The Highland Group, a consultancy. Even the upscale category of the segment, which is lagging the overall hotel industry recovery on most measures, set a new third quarter record for room revenues. The third quarter saw overall record highs for the segment in 14 different metrics, including demand, occupancy, average daily rate (ADR) and revenue per available room (RevPAR). With the distortion to room supply caused by closing and reopening extended stay hotels during the worst of the pandemic now over, said the report, supply growth is about the same as it was in the years preceding the pandemic. Mark Skinner, partner with The Highland Group, said, “It is highly likely that extended stay hotels will continue to set new performance records during the near term.”