According to the fourth quarter 2022 "United States Construction Pipeline Trend Report" from Lodging Econometrics, the U.S. market with the largest hotel construction pipeline by projects is Dallas with a record high count of 176 projects, accounting for 20,790 rooms. Following Dallas is Atlanta with 145 hotels and 18,100 rooms, Los Angeles with 122 hotels and 19,419 rooms, Phoenix with 116 hotels and 16,229 rooms and Nashville with 106 hotels and 14,198 rooms.
The U.S. markets with the most projects currently under construction are New York with 61 hotels and 9,976 rooms and Phoenix with 28 hotels and 5,522 rooms. Following New York and Phoenix are Atlanta with 27 hotels and 4,253 rooms, Dallas with 23 hotels and 3,435 rooms and California’s Inland Empire region with 21 hotels and 2,120 rooms.
At the Q4 close, Dallas has the most projects scheduled to start in the next 12 months with 68 hotels and 7,711 rooms, followed by Atlanta with 63 hotels and 7,520 rooms, Phoenix with 47 hotels and 5,492 rooms, Nashville with 45 hotels and 5,199 rooms and then Los Angeles with 42 hotels and 6,436 rooms.
Dallas also has the largest project count for hotel projects in the early planning stage, standing at 85 hotels and 9,644 rooms at the Q4 close. Following Dallas is Los Angeles with 61 hotels and 10,033 rooms, then Atlanta with 55 hotels and 6,327 rooms, the Inland Empire region with 48 hotels and 4,993 rooms and Orlando with 45 hotels and 8,127 rooms.
Throughout 2022, the markets with the greatest number of new openings are New York with 29 hotels and 4,223 rooms, Austin with 18 hotels and 2,233 rooms, Nashville with 15 hotels and 2,354 rooms, Atlanta with 13 hotels and 1,746 rooms and Washington, D.C. with 11 hotels and 2,012 rooms.
LE analysts forecast the New York market will have the most new hotel openings in 2023 with 46 new hotels and 7,795 rooms for a 6.4 percent growth rate. In 2024, Atlanta is forecast to open the most new hotels, with 26 hotels and 3,881 rooms, for a 3.4 percent growth rate.