- Dallas tops U.S. pipeline with 184 projects.
- It is forecast to lead hotel openings in 2027.
- CBRE forecasts 2.5 percent RevPAR growth in 2026.
DALLAS LED U.S. hotel construction pipelines at the end of the third quarter of 2026 with 184 projects totaling 23,646 rooms, according to Lodging Econometrics. The market is also forecast to lead hotel openings in 2027.
LE’s “Q3 2026 United States Construction Pipeline Trend Report” ranked Atlanta second with 154 projects and 16,938 rooms, followed by Nashville with 122 projects and 16,197 rooms, Austin with 112 projects and 13,169 rooms, and the Inland Empire with 110 projects and 10,909 rooms.
Nationally, the U.S. pipeline totaled 5,901 projects with 692,999 rooms at the end of the third quarter, and extended-stay hotels accounted for 40 percent of projects, according to Lodging Econometrics. Luxury and upper-upscale project counts reached record highs.
Pipeline by stage
Dallas led construction activity with 36 projects, while New York led in rooms with 6,965.Photo credit: iStock
Dallas also led in projects under construction with 36 projects totaling 3,764 rooms. New York followed with 28 projects and 6,965 rooms, Phoenix with 25 projects and 3,992 rooms, Atlanta with 24 projects and 2,412 rooms, and Indianapolis with 22 projects and 3,065 rooms.
Dallas had 72 projects totaling 8,544 rooms scheduled to start construction within 12 months. Atlanta followed with 57 projects and 6,633 rooms, Austin with 55 projects and 5,855 rooms, Nashville with 53 projects and 6,994 rooms, and the Inland Empire with 46 projects and 4,803 rooms.
In early planning, Dallas led with 76 projects and 11,338 rooms, followed by Atlanta with 73 projects and 7,893 rooms. Orlando and the Inland Empire each had 51 projects, with 12,253 and 5,001 rooms, respectively. Nashville ranked fifth with 48 projects and 6,648 rooms.
Projects under construction are the most likely to open. Scheduled starts and early-planning projects still depend on financing, feasibility and market conditions.
Dallas and Atlanta each recorded eight new project announcements in the third quarter, with 1,908 and 704 rooms, respectively. Tampa, Indianapolis and Cincinnati each recorded five, with 736, 625 and 508 rooms, respectively. Across the top 50 U.S. markets, 86 projects totaling 11,089 rooms entered the pipeline during the quarter.
The Washington, D.C., area led renovation and conversion activity with 32 projects and 4,325 rooms. Atlanta and Houston each had 31 projects. Atlanta’s totaled 5,258 rooms and Houston’s 4,426. Dallas, Chicago and San Antonio each had 30 projects, with 5,306, 5,287 and 2,935 rooms, respectively.
Openings and outlook
U.S. markets recorded 56 hotel openings in the third quarter, with Phoenix leading at six.Photo credit: iStock
The top 50 U.S. markets recorded 56 hotel openings totaling 6,664 rooms in the third quarter. Phoenix led with six hotels and 612 rooms. Dallas, the Inland Empire and Atlanta followed with four hotels each, totaling 621, 425 and 421 rooms, respectively.
Phoenix is forecast to lead openings in 2026 with 25 projects and 3,517 rooms. Dallas follows with 18 projects and 2,050 rooms, New York with 14 projects and 2,495 rooms, and Atlanta and Houston with 10 projects each, totaling 1,125 and 903 rooms, respectively.
In 2027, Dallas is forecast to lead with 28 projects and 2,604 rooms, followed by Atlanta with 20 projects and 1,937 rooms, Phoenix with 17 projects and 2,094 rooms, Indianapolis with 16 projects and 2,261 rooms, and New York with 15 projects and 2,557 rooms.
On the demand side, CBRE’s U.S. Real Estate Market Outlook Midyear Review 2026 forecasts revenue per available room, or RevPAR, to grow 2.5 percent in 2026 and 2.1 percent in 2027, driven in part by a recovery in business and convention-related group travel.
Growth will vary by segment. CBRE forecasts luxury RevPAR to rise 5.2 percent in 2026, about double the national rate, while midscale grows 0.7 percent and economy declines 0.6 percent.
National supply growth remains limited. CBRE reports that U.S. hotel construction has declined for 15 consecutive months and projects hotel inventory to grow 0.7 percent a year over the next three years.
