Hotel Development Trends & Projections
Latin America Hotel Construction Pipeline Expands as Early Planning Stage Surges 22%; LE Debuts 2028 New Hotel Openings Forecast
The Q2 2026 Latin America Construction Pipeline Trend Report by Lodging Econometrics (LE) reveals the region’s total hotel construction pipeline stands at 759 projects and 111,340 rooms, marking a slight increase in projects year-over-year (YOY).
At mid-2026, 284 projects with 43,840 rooms are actively under construction. Another 172 projects representing 27,149 rooms are scheduled to begin construction within the next year. Early planning development is accelerating with 303 projects with 40,351 rooms, up 22% in project count and 17% in rooms YOY.
Across luxury, upscale, and upper midscale segments, each recorded 140 projects with luxury at 23,141 rooms, upscale at 20,291 rooms, and upper midscale at 18,402 rooms. The upper upscale segment reaches a record 133 projects and 22,869 rooms.
Conversions and renovations remain robust at 159 projects and 27,763 rooms with conversion volumes reaching LE’s highest recorded levels at Q2 2026.
Through the first half of 2026, 35 new hotels with 7,138 rooms opened throughout Latin America. LE forecasts an additional 69 new hotels with 16,782 rooms by year-end, for a total of 104 new hotels and 16,920 rooms in 2026. For 2027, LE projects 114 new hotel openings with 16,516 rooms. Debuting this quarter is LE’s 2028 forecast at 123 new hotels and adding 15,607 rooms to the region’s supply.
Mexico Dominates the Latin America Pipeline with 234 Projects
Mexico dominates the region’s pipeline with 234 projects and 33,131 rooms, representing 31% of all projects. Brazil follows with 140 projects and 20,181 rooms. The Dominican Republic ranks third with 85 projects and 17,085 rooms. Together, these three countries account for 61% of all projects and 63% of rooms in the pipeline.
Mexico City leads city-level pipelines with 25 projects and 2,737 rooms, followed by Lima (18 projects, 2,402 rooms), Georgetown, Guyana (15 projects, 2,058 rooms), Riviera Maya, Mexico (14 projects, 1,606 rooms) and Santo Domingo, Dominican Republic (12 projects, 2,020 rooms).