Dare County’s tourism-based economy remained strong this summer, with August gross occupancy and meals collections both higher than last year, while July retail sales were just down a fraction.
The data reflects collections that are due to the Dare County Tax Office and the N.C. Department of Revenue on the 15th of the month following the month the actual stays and sales took place.
The occupancy and meals figures presented in the report are used to calculate revenues the county generates from the 6% occupancy tax and 1% prepared food and beverage tax, which then funds promotion of the Outer Banks, along with grants for events and tourism-related impacts.
Beach nourishment projects are also funded in part using 2% of the hotel room/vacation rental tax.
According to figures presented Thursday to the Dare County Tourism Board, gross occupancy collections in August totaled $162.0 million, up 2.65 percent from $157.9 million in August 2024, to set an all-time high for the month.
The year-to-date total through August reached $668.0 million, a 1.5 percent increase from the same period last year and roughly 40 percent above 2020.
Cottages and houses, which represent the largest share of Dare County’s lodging market, generated the majority of collections again in August.
The class reported approximately $144.5 million, up about 2 percent from August 2024, accounting for nearly 90 percent of all collections.
The slight increase mirrors a steady pattern seen since the start of 2025, though growth has slowed compared to the double-digit increases recorded between 2021 and 2022.
Hotels and motels recorded stronger proportional gains, with $15.2 million collected in August, up roughly 4 percent from $14.6 million the previous year.
The report notes that hotels sold slightly more room nights than in August 2024, even as average daily rates remained steady.
Campgrounds and other lodging, including bed-and-breakfasts and smaller properties, reported $2.3 million in August occupancy, compared with $2.2 million the year before, a modest 2.5 percent increase.
Year-to-date through August, cottages and houses have generated $596.4 million, up 1.3 percent from last year, while hotels and motels reached $59.6 million, a 2.1 percent increase. Campgrounds and other lodging accounted for $12.0 million, up 1.8 percent.
The breakdown of August income reported by accommodations providers showed Hatteras Island with $51.9 million, a 1.3 percent increase from $51.2 million in August 2024.
The northern beach towns — including Duck, Southern Shores, Kitty Hawk, Kill Devil Hills and Nags Head — generated $99.4 million, up 3.1 percent from $96.4 million the year prior.
Roanoke Island and the Dare mainland recorded $10.7 million, up 2.2 percent from $10.5 million a year earlier.
Year-to-date through August, Hatteras Island has collected $212.9 million, an increase of 1.1 percent from last year.
The northern beaches are up 1.7 percent to $411.5 million, while Roanoke Island and the mainland have totaled $43.6 million, a 1.4 percent gain over the same period in 2024.
Gross meals collections reached $61.8 million in August, up 8.25 percent from $57.1 million in August 2024.
Year-to-date through August, prepared food and drink sales totaled $295.3 million, a 5.5 percent increase from $280.0 million during the same eight months last year.
August meals collections in the northern beach towns reached $47.6 million, compared with $43.8 million in August 2024, a 8.7 percent increase.
Hatteras Island restaurants reported $10.1 million, up 7.9 percent from $9.4 million last year.
Roanoke Island and the Dare mainland together collected $4.1 million, a 6.5 percent increase from $3.8 million in August 2024.
Retail sales for July 2025, the most recent month available, totaled $16.7 million, down slightly from July 2024’s record of $16.8 million
Retailers have generated $56.9 million through the end of July in 2025, up 0.7% from a year ago, and a new all-time high for the first 7 months of the year.
Overall in-market spending tracked by Visa reached $68.3 million in August, up 2 percent from the same month last year.
Year-to-date visitor spending totaled $330.5 million, an increase of 4 percent from 2024.
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