Hotel Development Trends & Projections
Europe’s Hotel Pipeline Reaches Record Highs in Early Planning, Luxury, and Upper Upscale Development
The recent Europe Hotel Construction Pipeline Trend Report from Lodging Econometrics (LE) details that, at the end of Q4 2025, the region’s total pipeline stands at 1,717 projects/252,600 rooms.
At the Q4 close, there are 754 projects/115,289 rooms currently under construction in Europe, 375 projects/54,097 rooms scheduled to start construction anytime within the next 12 months, and 588 projects/83,214 rooms in the early planning stage. Notably, projects in the early planning stage reached record-high project and room counts and grew 15% by projects and 16% by rooms year-over-year (YOY).
Combined hotel renovations and brand conversions in Europe at the end of Q4 2025 total 700 projects/90,066 rooms. Upscale and upper midscale projects continue to top the hotel construction pipeline at Q4. Upscale projects lead with 367 projects/57,028 rooms, followed by upper midscale with 312 projects/44,224 rooms. Additionally, at Q4, upper upscale development reached record-high project and room counts with 307 projects/48,969 rooms. Luxury development also reached a record-high project count with 174 projects/21,249 rooms.
In 2025, 255 new hotels with 30,603 rooms opened throughout Europe. LE analysts forecast continued growth in new hotel openings in 2026, with 315 new hotels/44,666 rooms expected to open, and 320 new hotels/44,625 rooms slated to open in 2027.
Turkey has Record High Project and Room Counts at the end of Q4 2025
The United Kingdom leads the region with 274 projects/39,515 rooms. Germany follows with 147 projects/25,616 rooms, then Turkey with record-high project and room counts of 146 projects/20,499 rooms. France and Portugal complete the top five countries with the largest project counts in Europe at Q4, with 126 projects/12,908 rooms and 111 projects/13,820 rooms, respectively. These five countries account for 47% of the projects and 44% of the rooms in the region’s total pipeline.
European cities with the largest pipelines at Q4 are led by London with 76 projects/13,657 rooms, Istanbul with 48 projects/7,364 rooms, Lisbon with record-high project and room counts of 39 projects/4,444 rooms, Tashkent, Uzbekistan with 32 projects/5,035 rooms, and Dublin, Ireland with 25 projects/4,648 rooms.