The number of U.S. hotel projects in development in the
fourth quarter showed "steady activity across all project stages," according
to a new report by Lodging Econometrics.
The total number of hotel projects in all phases of the U.S.
pipeline at the end of Q4 held roughly steady from the fourth
quarter of 2024 at more than 6,100 projects totaling about 720,000 rooms,
according to the company.
Nearly 1,100 hotel projects at the end of 2025 were under
construction, comprising 134,000 rooms. About 2,200 more, totaling 254,000
rooms, are scheduled to begin construction in the next 12 months, according to Lodging
Econometrics.
The upper-midscale tier has the largest share of the overall
pipeline by far, with about 2,300 projects and 219,000 rooms in development.
Ninety-five luxury hotels are in development, a record, according to the
company. Those properties total 22,000 rooms.
Nearly 1,500 brand conversions were in the pipeline at the
end of 2025, totaling 149,000 rooms, representing year-over-year increases of 12
percent and 16 percent, respectively. About 620 hotels in the U.S. were
renovating, representing nearly 130,000 rooms.
Dallas once again in the fourth quarter led the U.S. as the
city with the most hotels in the pipeline, with 193 projects and more than 23,700
rooms. It's the 18th straight quarter in which the Texas city has
led all others in pipeline count.
Dallas was followed by Atlanta (159 projects totaling 17,800
rooms), Phoenix (124 projects totaling 16,300 rooms), Nashville (120 projects totaling
16,000 rooms) and Austin, Texas (120 projects totaling 14,100 rooms) atop the
fourth-quarter pipeline list. Phoenix at the end of Q4 had the most properties
currently under construction, according to Lodging Econometrics, with 35
totaling 4,800 rooms.
Lodging Econometrics projects year-over-year U.S. hotel
supply growth rates of 1.4 percent in 2026 and 1.5 percent in 2027.