Construction Pipeline U.S.

U.S. Hotel Pipeline for December 2013 Up 14.95% over 2012

The total active U.S. hotel development pipeline comprises 2,877 projects totaling 349,317 rooms, according to the December 2013 STR Pipeline Report.

Smith Travel Research The total active U.S. hotel development pipeline comprises 2,877 projects totaling 349,317 rooms, according to the December 2013 STR Pipeline Report. This represents a 14.9-percent increase in the number of rooms in the total active pipeline compared with December 2012 and a 34.5-percent increase in rooms under construction. The total active pipeline data includes projects in the In Construction, Final Planning and Planning stages but does not include projects in the Pre-Planning stage.

Top 10 U.S. Markets by hotel rooms in the In Construction phase*

Top 10 U.S. Markets by hotel rooms in the In Construction phase

*Data as of 31 December 2013

Among the Top 25 Markets, New York, New York, reported the largest number of rooms under construction (11,189 rooms). Three other markets reported more than 2,000 rooms under construction: Washington, D.C. (2,819 rooms); Los Angeles-Long Beach, California (2,523 rooms); and Orlando, Florida (2,358 rooms).

“The New York market alone totaled more than 11,000 rooms, by far the most of any U.S. market  and roughly 40 percent of the top 10,” said Bobby Bowers, senior VP of operations at STR. “Upscale and Upper Midscale made up 65 percent of New York’s room construction, while non-chain affiliated rooms accounted for another 25 percent.”

Four markets reported more than 100-percent increases in rooms under construction in year-over-year comparisons: Dallas, Texas (+367.2 percent); Seattle, Washington (+345.2 percent); Houston, Texas (+229.4 percent); and Los Angeles-Long Beach (+225.5 percent).

“Supply growth should not pose a significant threat to the overall industry’s continued recovery in 2014,” Bowers said. “However, selected markets - like New York, Washington, D.C., and Los Angeles-Long Beach - will likely face supply-driven headwinds in the near term.”

About STR

STR provides clients—including hotel operators, developers, financiers, analysts and suppliers to the hotel industry—access to hotel research with regular and custom reports covering North America, Mexico and Caribbean. STR provides a single source of global hotel data covering daily and monthly performance data, forecasts, annual profitability, pipeline and census information. STR founded the STR family of companies and is proudly associated with STR Global, RRC and HotelNewsNow.com. For more information, please visit www.str.com.

 



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