Skip to content

Search

Latest Stories

U.S. hotel pipeline closed 2019 with 4 percent projects increase

There were 5,748 projects with 708,898 rooms last year

THE U.S. HOTEL pipeline has completed its eighth consecutive year of growth in 2019 with a year-over-year increase of 4 percent in terms of projects and 6 percent in terms of rooms, according to Lodging Econometrics.

There were 5,748 projects with 708,898 rooms in the pipeline at the end of last year, according to LE, about 135 projects and 76,649 rooms shy of the 2008 second quarter peak of 5,883 projects and 785,547 rooms.


The pipeline was near an all-time high by November.

Projects under construction reached an all-time high of 1,768 projects with 237, 362 rooms, up 7 percent by projects and 10 percent by rooms compared to the previous year. The year also saw 2.2 percent growth in new supply with 1,017 new hotels and 118,674 rooms, bringing the total U.S. amount to 57,903 hotels and 5,486,909 rooms.

LE predicts a 2.3 percent supply growth rate in 2020 with 1,127 new hotels with 127,896 rooms expected to open.

A total of 2,283 projects with 265,161 rooms are scheduled to start construction in the next 12 months while 1,697 projects with 206,375 rooms are in the early planning stage.

The forecast for new hotel openings in 2021 also increased slightly to 1,162 new hotels with 135,228 rooms, a 2.4 percent growth rate.

LE further predicts an optimistic hotel construction pipeline outlook in the U.S. through 2020 and through the early part of the new decade.

“The financial markets are strong, a partial trade agreement between the U.S. and China has been reached, and interest rates could very well go unchanged in 2020,” LE said in a statement. “Overall, the economy is in a good place, and the concerns of a possible recession have eased. Lenders continue to be cautious, but lending at attractive rates is still accessible to developers and should continue to drive development.”

More for you

Choice Hotels
Photo credit: Choice Hotels International

Choice posts $81.7M Q2 profit, 93K-room pipeline

Summary:

  • Choice Hotels International reported Q2 net income of $81.7 million.
  • Domestic RevPAR fell 2.9 percent due to macroeconomic conditions.
  • Extended-stay portfolio rose 10.5 percent YoY, with a domestic pipeline of 43,000 rooms.

CHOICE HOTELS INTERNATIONAL reported second-quarter net income of $81.7 million, down from $87.1 million a year earlier. Its forecast for the year remained positive, but was downgraded some to account for changes in macroeconomic conditions.

Keep ReadingShow less
Hotel exterior of Motel 6 Las Vegas under G6 Hospitality and Galaxy Hotels partnership
Photo credit: G6 Hospitality

G6, Galaxy aim to grow Motel 6, Studio 6

Summary:

  • G6 Hospitality and Galaxy Hotels Group are expanding Motel 6 and Studio 6 in the U.S.
  • Galaxy said G6 brands outperform others in guest satisfaction and value.
  • One Galaxy hotel generates $8–10M annually; the full G6 portfolio is expected to reach $50M.

G6 HOSPITALITY AND Galaxy Hotels Group are now working to expand the Motel 6 and Studio 6 footprint in the U.S. About 10 Galaxy-managed hotels, totaling more than 1,300 rooms, will operate under the G6 brands, with more to follow.

Keep ReadingShow less
Hotel industry leaders unite at AHLA Summit to support trafficking survivors
Photo credit: AHLA Foundation

AHLA Foundation hosts human trafficking summit

Summary:

  • AHLA Foundation held its No Room for Trafficking Summit and announced Survivor Fund grantees.
  • The summit featured expert panels and sessions on survivor employment and trafficking prevention.
  • Since 2023, the program has awarded more than $2.35 million to 27 organizations.

AHLA FOUNDATION RECENTLY held its annual “No Room for Trafficking Summit” to advance practices and reinforce the industry's commitment to addressing human trafficking through collaboration, education and survivor support. It also announced the 2025–2026 NRFT Survivor Fund grants, which support organizations providing services and resources for survivors.

Keep ReadingShow less
Fed interest rate July
Photo credit: Chip Somodevilla/Getty Images

Fed holds rates steady despite Trump pressure

Summary:

  • The Federal Reserve held interest rates steady and gave no signal of a September cut.
  • Developers and brokers are calling for lower borrowing costs to unlock supply and revive stalled deals.
  • The Fed’s decision followed surprise news that the U.S. economy grew 3 percent in Q2.

THE FEDERAL RESERVE held its key interest rate steady and gave no indication of a cut in September, despite growing pressure from President Trump and his Fed appointees, USA Today reported. The July 30 decision keeps the Fed’s benchmark rate at 4.25 percent to 4.5 percent for a fifth straight meeting.

Keep ReadingShow less
BWH Hotels expands with AI-driven strategy and outdoor lodging focus

BWH sticks to growth plan despite headwinds

Summary:

  • BWH Hotels is staying the course on long-term growth, investing in AI and developer support.
  • A new insurance program has saved some BWH hoteliers $50,000 to $60,000 annually.
  • It aims to reach 5,150 hotels in five years, with 300 deals signed last year and 200-plus in the pipeline.

BWH HOTELS IS maintaining its long-term growth strategy despite market uncertainties, with President and CEO Larry Cuculic citing momentum across core markets. The company is investing in AI, supporting developers and focusing on long-term goals.

Keep ReadingShow less