According to a recent report by Lodging Econometrics (LE), the U.S. Construction Pipeline stands at 4,973 Projects/598,371 Rooms, with projects up 7% Year-Over-Year (YOY).
There are 1,520 Projects/198,710 Rooms Under Construction, up 10% YOY, and are the highest counts recorded this cycle. Projects Scheduled to Start Construction in the Next 12 Months, at 2,312 Projects/264,924 Rooms, are up 5% YOY. Projects in Early Planning are at 1,141 Projects/134,737 Rooms and are up 8%, YOY. However, it’s slightly down from last quarter which, so far, is the peak level this cycle.
For the economy, the rate of growth may be low but it’s running on all cylinders. So, too, with the Total Pipeline whose growth rate is also stalling.
20% increase in new supply forecast for 2017 in the U.S.
448 Hotels/50,521 Rooms have already opened in the U.S. with another 573 Projects/64,385 Rooms forecast to open by year-end according to analysts at Lodging Econometrics (LE). The Total 2017 Forecast for 1,021 Projects/114,906 Rooms, represents a 20% increase over the actual number of Hotel Openings in 2016, which stood at 849 Hotels/99,872 Rooms. 344 of the New Openings, or 34%, will be in the Top 25 Markets.
Almost half of the hotels that are expected to open this year are Upper Midscale, at 477 Projects/46,093 Rooms and another 289 Projects/37,914 Rooms are Upscale. These two chain scales represent 75% of the 1,021 projects anticipated to open through the end of 2017. 497 of the projects will be between 100 and 200 rooms, while 464 of the projects will be Suburban locations.
LE forecasts that 1,160 Projects/133,880 Rooms will open in 2018 and another 1,193 Projects/137,393 Rooms will open in 2019, still a distance from the annualized New Openings peak of 1,316 Projects/140,227 Rooms, set in 2009.
Related Stories
Reconstruction & Renovation | Mar 28, 2022
Is your firm a reconstruction sector giant?
Is your firm active in the U.S. building reconstruction, renovation, historic preservation, and adaptive reuse markets? We invite you to participate in BD+C's inaugural Reconstruction Market Research Report.
Industry Research | Mar 28, 2022
ABC Construction Backlog Indicator unchanged in February
Associated Builders and Contractors reported today that its Construction Backlog Indicator remained unchanged at 8.0 months in February, according to an ABC member survey conducted Feb. 21 to March 8.
Industry Research | Mar 23, 2022
Architecture Billings Index (ABI) shows the demand for design service continues to grow
Demand for design services in February grew slightly since January, according to a new report today from The American Institute of Architects (AIA).
Codes and Standards | Mar 1, 2022
Engineering Business Sentiment study finds optimism despite growing economic concerns
The ACEC Research Institute found widespread optimism among engineering firm executives in its second quarterly Engineering Business Sentiment study.
Codes and Standards | Feb 24, 2022
Most owners adapting digital workflows on projects
Owners are more deeply engaged with digital workflows than other project team members, according to a new report released by Trimble and Dodge Data & Analytics.
Market Data | Feb 23, 2022
2022 Architecture Billings Index indicates growth
The Architectural Billings Index measures the general sentiment of U.S. architecture firms about the health of the construction market by measuring 1) design billings and 2) design contracts. Any score above 50 means that, among the architecture firms surveyed, more firms than not reported seeing increases in design work vs. the previous month.
Market Data | Feb 15, 2022
Materials prices soar 20% between January 2021 and January 2022
Contractors' bid prices accelerate but continue to lag cost increases.
Market Data | Feb 4, 2022
Construction employment dips in January despite record rise in wages, falling unemployment
The quest for workers intensifies among industries.
Market Data | Feb 2, 2022
Majority of metro areas added construction jobs in 2021
Soaring job openings indicate that labor shortages are only getting worse.
Market Data | Feb 2, 2022
Construction spending increased in December for the month and the year
Nonresidential and public construction lagged residential sector.
