There's good news and bad news for Europe's hotel industry this week.
First, the bad news: According to the February 2017 Pipeline Report from STR, Europe has 161,656 rooms in 1,027 hotel projects under contract in the pipeline. This represents a 1.3-percent decrease in rooms under contract compared with February 2016, which follows earlier reports indicating that terrorism in Brussels and France, the Brexit in the UK and an unknown future for the Eurozone have led to a decrease in values per room..
Europe reported 72,888 rooms in 453 hotels in construction for the month. And that's the good news, because based on number of rooms, that is a 15.9-percent increase in year-over-year comparisons.
Four European countries reported more than 5,000 rooms in construction. The United Kingdom has 16,648 rooms in 122 hotels, Germany has 12,585 rooms in 61 hotels, Turkey has 8,270 rooms in 51 hotels and Russia has 7,906 rooms in 41 hotels.
STR's under contract data includes projects in the in construction, final planning and planning stages but does not include projects in the unconfirmed stage.