U.S. Hotel Construction Pipeline Highest in Six Years
The total U.S. hotel construction pipeline for 2014 was at it highest in six years, according to Lodging Econometrics, representing 3,645 projects or 460,551 rooms. The pipeline has now posted five consecutive quarters of double-digit year-over-year growth, according to the consultancy. In the third and fourth quarters of last year, growth actually exceeded 20 percent. For comparison, the current pipeline still lags behind the 2007 peak of 5,438 projects or 718,387 rooms. But projects in the under-construction phase are the highest they've been in five years (1,086 projects/136,442 rooms), up 37 percent by projects and 34 percent by rooms, year-over-year. The early-planning phase of the pipeline, currently with 1,208 projects, is expected to spurt upward over the next two to three years, adding significant room count to hotel supply by the end of the decade.