Upper and Upper-Midscale Projects Dominate U.S. Hotel Development
Upscale and upper-midscale hotels comprise more than two-thirds of the hotel rooms under construction in the U.S., according to the November 2014 STR Pipeline Report. While construction has actually decreased by 22 percent, year-over-year, for the luxury segment and by 51.4 percent for the economy segment, it's up by double digits for every segment in between. Across all levels, there is a 28 percent increase in rooms under construction. The total number of rooms under contract, 413,419, represents a 17.3 percent increase over November 2013.