PORTSMOUTH, NH. – Dallas, Tex., sits at the top of heap in terms of third quarter hotel construction according to Lodging Econometrics (LE).
In the most recent report released by LE, at the close of the third quarter of 2020, the top five U.S. markets with the largest total hotel construction pipelines are Dallas with 154 projects/18,592 rooms; followed by Los Angeles with 150 projects/25,188 rooms; New York City with 144 projects/25,147 rooms; Atlanta with 134 projects/18,670 rooms; and Houston with 109 projects/11,384 rooms. These top five markets account for 15 percent of the rooms in the total U.S. pipeline. Twenty of the top 50 markets in the U.S. have more than 50 projects in their hotel construction pipelines.
There are currently seven markets in the U.S. that have 30 or more projects under construction in their pipelines including Atlanta with 44 projects/6,483 rooms, Dallas with 42 projects/5,086 rooms, Nashville with 33 projects/5,532 rooms, Orlando with 31 projects/5,107 rooms, and Austin with 30 projects/5,228 rooms.
Despite the impact COVID-19 has had on operating performance, development, renovation, and conversion activity in the lodging industry continues. This is evidenced by the number of hotels that opened in Q3. The top 50 markets in the U.S. saw 140 hotels, and 17,195 rooms open during the quarter.