According to Lodging Econometrics (LE), the U.S. construction pipeline standts at 5,011 projects and 608,837 guestrooms, a 4 percent increase in projects and rooms year-over-year (YOY).
There are 1,592 projects and 208,523 rooms under construction, up 8 percent and 7 percent YOY, respectively, the highest counts recorded this cycle. Projects scheduled to start in the next 12 months are down 1 percent YOY with 2,198 projects and 251,259 guestrooms. Projects in early planning are reported at 1,221 projects and 149,055 guestrooms. Although projects are up 10 percent YOY, the smaller properties result in lower roomcounts.
The pipeline is moving ahead at a moderate, positive pace, and established a new peak for the cycle. The previous cycle peak reached 5,882 projects and 785,547 guestrooms in the second quarter of 2008 (Q208). Current project readings are 15 percent below that level, while guestrooms are down 22.5 percent.
