STR’s April 2016 Pipeline Report shows 506,000 rooms in 4,125 projects under contract in the U.S. The total represents a 14.6% increase in the number of rooms under contract compared with April 2015.
Under contract data includes projects in the construction, final planning, and planning stages, but does not include projects in the unconfirmed stage.
In the construction stage, the U.S. reported 161,014 rooms in 1,241 projects, a 28.3% increase in year-over-year comparisons.
Among the Chain Scale segments, Upscale (55,994 rooms in 407 hotels) accounted for the most rooms in construction, followed by Upper Midscale (52,934 rooms in 523 hotels).
“The Upscale and Upper Midscale segments combine to represent more than 67% of total construction activity in the U.S., with almost 109,000 rooms between the two,” said Bobby Bowers, STR’s Senior VP for Operations. “Looking further down the road, these two segments combine for almost 207,000 rooms in the two planning phases. That means these segments will likely continue to experience significant supply increases over the next few years. It will be very interesting to monitor the effect on select-service occupancy.”
The Economy segment reported the least contract and construction activity but the largest year-over-year increases in rooms under contract (+41.2% to 4,731 rooms) and in construction (+94.8% to 1,276 rooms).
“The increase in activity is coming across the board,” Bowers said.
Every segment with the exception of Luxury (+7.9%) reported a double-digit increase in construction activity when compared with last April. Every segment outside of Unaffiliated (+2.4%) reported a double-digit lift in under contract.
Related Stories
| Sep 14, 2014
Ranked: Top Veterans Administration sector AEC firms [2014 Giants 300 Report]
CannonDesign, Clark Group, and URS top BD+C's rankings of the nation's largest Veterans Administration building sector design and construction firms, as reported in the 2014 Giants 300 Report.
| Sep 9, 2014
Using Facebook to transform workplace design
As part of our ongoing studies of how building design influences human behavior in today’s social media-driven world, HOK’s workplace strategists had an idea: Leverage the power of social media to collect data about how people feel about their workplaces and the type of spaces they need to succeed.
| Sep 3, 2014
New designation launched to streamline LEED review process
The LEED Proven Provider designation is designed to minimize the need for additional work during the project review process.
| Sep 2, 2014
Ranked: Top green building sector AEC firms [2014 Giants 300 Report]
AECOM, Gensler, and Turner top BD+C's rankings of the nation's largest green design and construction firms.
| Jul 28, 2014
Reconstruction market benefits from improving economy, new technology [2014 Giants 300 Report]
Following years of fairly lackluster demand for commercial property remodeling, reconstruction revenue is improving, according to the 2014 Giants 300 report.
| Jul 28, 2014
Reconstruction Sector Construction Firms [2014 Giants 300 Report]
Structure Tone, Turner, and Gilbane top Building Design+Construction's 2014 ranking of the largest reconstruction contractor and construction management firms in the U.S.
| Jul 28, 2014
Reconstruction Sector Engineering Firms [2014 Giants 300 Report]
Jacobs, URS, and Wiss, Janney, Elstner top Building Design+Construction's 2014 ranking of the largest reconstruction engineering and engineering/architecture firms in the U.S.
| Jul 28, 2014
Reconstruction Sector Architecture Firms [2014 Giants 300 Report]
Stantec, HDR, and HOK top Building Design+Construction's 2014 ranking of the largest reconstruction architecture and architecture/engineering firms in the U.S.
| Jul 23, 2014
Architecture Billings Index up nearly a point in June
AIA reported the June ABI score was 53.5, up from a mark of 52.6 in May.
| Jul 21, 2014
Economists ponder uneven recovery, weigh benefits of big infrastructure [2014 Giants 300 Report]
According to expert forecasters, multifamily projects, the Panama Canal expansion, and the petroleum industry’s “shale gale” could be saving graces for commercial AEC firms seeking growth opportunities in an economy that’s provided its share of recent disappointments.
