October 31, 2022 – PORTSMOUTH, NH
According to the third quarter United States Construction Pipeline Trend Report from Lodging Econometrics (LE), the U.S. market with the largest hotel construction pipeline by projects is Dallas with a record high count of 174 projects, accounting for 20,676 rooms. Following Dallas is Atlanta with 139 projects/17,843 rooms, Los Angeles with 118 projects/19,062 rooms, Phoenix with 113 projects/15,508 rooms, and New York with 102 projects/17,805 rooms.
U.S. markets with the most projects currently under construction are New York with 69 projects/11,781 rooms and Atlanta with 25 projects/3,798 rooms. Following New York and Atlanta is Phoenix, with 24 projects/5,126 rooms, Dallas with 23 projects/3,390 rooms, and Austin with 22 projects/3,135 rooms.
At the Q3 close, Atlanta has the most projects scheduled to start in the next 12 months with 63 projects/8,026 rooms, followed by Dallas with 63 projects/7,355 rooms, Phoenix with 53 projects/5,837 rooms, Los Angeles with 48 projects/7,461 rooms, and then Houston with 36 projects/4,227 rooms.
Dallas also has the largest project count for hotel projects in the early planning stage, standing at 88 projects/9,931 rooms at the Q3 close. Following Dallas is Los Angeles with 51 projects/8,668 rooms in the early planning stage, then Atlanta with 51 projects/6,019 rooms, Orlando with 46 projects/8,039 rooms, and Nashville with 44 projects/5,519 rooms.
Within the first three quarters of 2022, the markets with the greatest number of new openings are New York City, Austin, Nashville, Atlanta, and Detroit.
LE analysts forecast the New York market will have the most new hotel openings in 2022 with 38 new hotels/5,066 rooms, for a 4.2% growth rate. The New York market is also expected to have the greatest number of new hotel openings in the U.S. in 2023, with 39 projects/7,208 rooms, for a growth rate of 5.8%. In 2024, Phoenix is forecast to open the most new hotels, with 29 projects/4,062 rooms, for a 35.6% growth rate.