Dallas Leads US Hotel Construction Pipeline

The latest report from Lodging Econometrics (LE) cites Dallas at the helm of the top five U.S. markets with the largest total hotel construction pipelines at the close of the third quarter of 2020. Dallas tops the list with 154 projects and 18,592 guestrooms, while Los Angeles is in second place with 150 projects and 25,188 guestrooms and New York ranking third with 144 projects and 25,147 guestrooms. Atlanta and Houston round out the top five with 134 projects and 18,670 guestrooms and 109 projects and 11,384 guestrooms, respectively. These five markets account for 15 percent of the total U.S. pipeline. There are seven markets in the U.S. currently hold 30 or more projects under construction in their pipelines. New York maintains the most projects in construction, with 105 projects and 18,453 guestrooms, while Atlanta comes in second with 44 projects and 6,483 guestrooms. Dallas holds third place with 42 projects and 5,086 guestrooms under construction, but Los Angeles is close behind with 41 projects and 7,278 guestrooms. Rounding out the rest of the top seven are Nashville, Orlando, and Austin. Despite COVID-19, the report also revealed that the top 50 markets in the United States saw the opening of 140 hotels and 17,195 guestrooms during Q3. (A total of 280 hotels and 31,271 guestrooms opened across the U.S. during the last quarter.) Eleven of the country’s top 50 markets have 10 or more hotels currently undergoing renovation or conversion, while 1,259 hotels and 207,544 guestrooms underwent renovation or conversion during the third quarter.