Hawai'i's hotel industry figures continued to decline in May, with occupancy rates falling for the 13th straight month despite record visitor arrivals for the month.

Statewide hotel occupancy fell to 69 percent in May, a 6.5 percentage point decrease from May 2006, according to a report released yesterday by Hospitality Advisors LLC. Occupancy has fallen every month on a year-over-year basis since April 2006.

Hospitality Advisors President Joseph Toy said the report showed occupancy fell across all islands for the month. He said the drop was partly due to visitors staying in condominiums, time-share units and on cruise ships instead of traditional hotels.

And a continued decline in Japanese visitors — 10.3 percent in May — also contributed to a decline in overall occupancy because visitors from Japan predominantly stay in hotels rather than other accommodations, Toy said.

The statewide average daily room rate rose 7 percent to $187.07 in May compared with a year earlier. Last week's report by the state Department of Business, Economic Development and Tourism showed the total number of visitors rose 1.6 percent to 586,338, which was a record for the month of May. There were increases in visitors from the U.S. West (3.5 percent), U.S. East (6.8 percent) and Canada (8.4 percent).

That state report also showed visitor spending in May 2007 increased 3.1 percent from May 2006 to $914.5 million, boosted by growth in total visitor arrivals and slightly higher daily visitor spending.

Toy's report showed O'ahu occupancy declined to 69.9 percent with average rates that grew by 7.3 percent to $161.32. Maui reported average occupancy of 71 percent with an average rate of $237.26.

Kaua'i occupancy slipped by 1.8 percentage points to 72.6 percent but its room rate increased by 10.8 percent to $192.04. The Big Island's occupancy rate was 60.1 percent with a daily rate of $187.30.

The May survey, compiled by Smith Travel Research with Hospitality Advisors, included 147 properties representing 46,869 rooms, or 81.5 percent of all lodging properties.

Reach Robbie Dingeman at rdingeman@honoluluadvertiser.com.