Illustrative

Same RevPAR. One of them is underpriced.

Property A
Average rate $170
Occupancy 90%

Sells out early, every week, at a rate that has not moved. The occupancy is buying the RevPAR.

Property B
Average rate $204
Occupancy 75%

Holds rooms back on peak nights and gets paid for them. Fewer rooms sold, same revenue per room available.

RevPAR $153 = $153

RevPAR combines rate and occupancy into one figure, so a rate that is too low can be offset by the occupancy it buys. The number holds steady and the gap stays hidden inside it.