San Francisco rates take a dive......

San Francisco visitors have been enjoying some great hotel rates, thanks to the bad economy, the San Francisco Chronicle reports today.

Whether they're coming to attend a conference at the Moscone Convention Center, visit the city's many art museums or hang out in North Beach, visitors paid an average of just $160 a night last year - vs. $190 in 2008, the story says. And the 16% year-over-year reduction represents the steepest, annual drop-off since the Great Depression, according to the story, which cites historical data from industry tracker PKF Consulting.

Prices in San Francisco started falling toward the end of 2008. In June, the average room in the city cost $134 a night - the lowest it had been since 2005. In December, the average rate sank even more, to $132, the story says.

And interestingly, the Chronicle notes, more affordable hotel rates didn't attract more guests. San Francisco filled 76% of rooms last year, or about 4% fewer than the year before. In December, the city filled just 65% of rooms, the story says.

With the drop in room rates, the value of hotels has also plummeted. At least 15 hotel owners have defaulted on loans, including the Stanford Court and the Four Seasons, the story says.