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U.S. hotel construction reached historic highs

  • Automatic
  • 23 January 2025
  • 1 minute read
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This article was written by Hospitality Today. Click here to read the original article

The total pipeline reached 6,378 projects, a new project record, with 746,986 rooms, showing YOY growth of 7% in projects and 8% in rooms

Jan 23, 2025

The U.S. hotel pipeline shows robust activity across all project stages. Currently, there are 1,149 projects under construction with 142,238 rooms, reflecting a healthy year-over-year increase in projects. Looking ahead, there are 2,259 projects with 259,108 rooms scheduled to break ground in the next 12 months.

Key takeaways

  • The most dramatic growth is in the early planning stage, which has reached an unprecedented 2,970 projects and 345,640 rooms. This represents significant year-over-year growth, with projects up 15% and rooms up 19%;
  • By chain size, upper midscale hotels lead the pipeline with a record 2,354 projects and 227,845 rooms. Upscale hotels follow with 1,471 projects and 182,474 rooms. The midscale segment set a new record with 957 projects and 80,436 rooms, while the upper upscale chain scale reached a record 338 projects at the end of Q4 ’24;
  • In 2024, 583 hotels with 67,995 rooms are expected to open in the U.S., adding 1.2% to the nation’s hotel supply. Lodging Econometrics projects even stronger growth ahead, with 730 new hotels and 82,538 rooms expected to open in 2025, representing a 1.5% increase in supply.

Get the full story at Lodging Econometrics

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