NATIONAL REPORT – The number of new hotels being built in the United States has reached an all-time high, according to data from Lodging Econometrics.
The number of projects and rooms in the pipeline reached record highs at the end of the second quarter. The US pipeline included 6,095 projects (up 9% year-on-year) and 713,151 rooms (up 8% year-on-year).
There are 1,171 projects and 147,611 rooms currently under construction – an increase of 10% in projects and 4% in rooms year-on-year. There are 2,350 projects with 268,378 rooms scheduled to begin construction in the next 12 months, an increase of 5% in projects and 3% in rooms year-on-year. In addition, there was significant growth in projects in the early planning stages with 2,574 projects (13% increase year-on-year) and 297,162 rooms (15% increase year-on-year).
LE analysts predict that projects scheduled to begin in the next twelve months will quickly move into the construction phase as interest rates fall.
Renovations and conversions continue to be popular in the United States: There are 2,007 projects (up 4% year-on-year) and 262,178 rooms (up 3% year-on-year).
In the first half of 2024, 250 new hotels with 29,777 rooms opened in the US, and LE forecasts that another 400 projects with 44,451 rooms will open by the end of 2024, for a total of 650 new hotels with 74,228 rooms. This final total would represent a 35% increase in new openings compared to the 480 hotels (60,922 rooms) opened in 2023.
Analysts forecast the opening of 779 new hotels and 87,405 rooms in 2025. LE also announced its forecasts for 2026, with 928 projects and 101,796 rooms, representing a 1.8% increase in new supply.
PREVIOUS ECONOMETRIC REPORTS ON ACCOMMODATION
At the beginning of July we talked about the hottest developing markets in Latin America.
At the end of June, we talked about why Dallas is still a leader in the construction industry in the USA.
In mid-June we discussed that a large part of the European pipeline is under construction.
