Press & Media
Read recent LE press releases for an inside look at global lodging real estate news, regional and individual market insights, and growth trends for leading Franchises Companies and brands.
The Middle East’s Hotel Construction Pipeline Counts Essentially Even Year-Over-Year February 27, 2020Analysts at Lodging Econometrics (LE) state in the 2019 year-end report that the hotel construction pipeline in the Middle East stands at 618 projects/178,384 rooms, compared to 622 projects/181,813 rooms at the end of 2018. The pipeline in the Middle East remains strong as room counts have been over 170,000 in every quarter of the past two years.
Projects currently under construction are at 357 projects/117,112 rooms. Projects scheduled to start construction in the next 12 months stand at 128 projects/32,684 rooms, and projects in the early planning stage are at 133 projects/28,588 rooms.
The Middle East had 88 new hotels/22,605 rooms open in 2019, this is the highest count since LE began tracking the region and surpasses the previous record of 72 new hotel openings/19,756 rooms set in 2009. The LE forecast for new hotel openings continues to rise with 113 new hotels/32,230 rooms expected to open in 2020 and 129 new hotels/34,427 rooms in 2021.
Countries with the greatest number of projects in the construction pipeline are Saudi Arabia with 214 projects/73,137 rooms and the United Arab Emirates with 193 projects/57,723 rooms. Distantly following is Egypt, at an all-time high, with 65 projects/16,097 rooms, then Qatar with 56 projects/14,257 rooms, and Oman with 42 projects/7,972 rooms.
Dubai continues to lead the construction pipeline in the United Arab Emirates and throughout the Middle East with 152 projects/46,941 rooms. Dubai is a popular area for hotel development with the current driver of development being the upcoming World Expo 2020, opening in October 2020 and operating until April 2021. Millions of people already visit Dubai each year and the World Expo 2020 is expected to bring millions more. To accommodate the increase in hotel demand that this event is expected to produce, development began at the site four years ago. This led to Dubai opening 70 new hotels having 17,919 rooms in 2018 and 2019 combined. Throughout 2020, another 31 new hotels/10,217 rooms are forecast to open.
Cities with the largest hotel construction pipelines are the Provincial region with 70 projects/14,422 rooms; Riyadh with 59 projects/11,163 rooms; Jeddah with 53 projects/11,309 rooms; Doha, Qatar with 49 projects/11,951 rooms and Makkah with 32 projects/36,243 rooms. In the Middle East, 43% of the projects and 48% of the rooms in the construction pipeline can be found within these five cities.
At the 2019 year-end, Marriott International is the top franchise company in the Middle East with a record 97 projects having 24,199 rooms. Next is Hilton Worldwide with 92 projects/25,289 rooms, and then Accor with 90 projects/26,824 rooms.
The leading pipeline brands for these companies are Marriott’s Courtyard with 23 projects/4,839 rooms and Residence Inn with 16 projects/1,877 rooms. Both of these brands are at record highs; Hilton’s DoubleTree with 27 projects/6,711 rooms, and the full-service Hilton Hotel & Resort with 21 projects/6,682 rooms; Accor’s top brands are the Ibis brands with 15 projects/5,113 rooms, and Novotel with 13 projects/4,773 rooms.
Europe’s Hotel Construction Pipeline Continues an Upward Trend Despite Some Economic Challenges February 21, 2020According to the recent Europe hotel construction pipeline trend report from Lodging Econometrics (LE), Europe’s total construction pipeline rose to 1,871 projects/297,490 rooms in the fourth quarter of 2019, a 19% increase by projects and 22% by rooms, year-over-year (YOY).
There are 879 projects/140,620 rooms currently under construction, 531 projects/81,235 rooms scheduled to start construction in the next 12 months, and 461 projects/75,635 rooms in early planning. All stages of the pipeline are at record highs and have counts more than double their cyclical lows set earlier in the decade.
However, Europe closed 2019 with a fragile and waning economy with growth in the Eurozone expanding by a mere 0.1% in the fourth quarter. This is partly due to last year’s lengthy negotiations that resulted in the U.K. leaving the European Union at the end of January 2020, and the uncertainty of the U.S./China trade war which had a significant impact.
Looking forward, the first quarter of 2020 could be rather sluggish too, due in part to the heavily export-dependent German economy, which is being negatively affected by the slowing of the Chinese economy as a result of the coronavirus, France’s weakening economic performance and widespread social turmoil caused by unpopular economic reforms, and the U.K.’s need to reestablish an economic relationship with the European Union by year’s end.
Nevertheless, Europe remains the most popular destination in the world for tourism, the major franchise companies continue to focus development efforts in many areas of the region, and hotel operating performance remains positive, all of which continues to be a significant driver of hotel development in the region. In 2019, 435 new hotels with 58,202 rooms opened throughout Europe, the highest number of new hotel openings ever recorded. As a result of the robust construction pipeline, the LE forecast for new hotel openings will continue to be strong with 457 new hotels/63,402 rooms anticipated to open in 2020 and rising to 503 new hotels/72,078 rooms in 2021.
Europe’s leading countries in the construction pipeline are the United Kingdom with 346 projects/49,651 rooms, and Germany standing at 339 projects/61,836 rooms. France follows with 171 projects/21,173 rooms, and then Portugal and Poland with 118 projects/12,616 rooms and 90 projects/14,028 rooms, respectively. With the exception of France and Poland, these markets all have construction pipelines at record highs.
The cities with the largest pipelines are London with 88 projects/15,575 rooms, Dusseldorf at an all-time high of 60 projects/11,443 rooms, Paris with 44 projects/6,896 rooms, Hamburg standing at 34 projects/7,302 rooms, and Lisbon with 34 projects/3,114 rooms. Moscow follows with 31 projects/6,536 rooms, Berlin with 27 projects/6,202 rooms, and then Frankfurt with 27 projects/5,642 rooms.
Franchise companies with the largest construction pipelines are Marriott International with 244 projects/40,679 rooms, and Accor with 241 projects/32,920 rooms. Next is Hilton Worldwide with 191 projects/29,944 rooms, and InterContinental Hotels Group with 156 projects/25,249 rooms. These four companies are responsible for 45% of the projects in the total pipeline. Marriott International, Hilton Worldwide and InterContinental Hotels Group set new record project counts in their European pipelines.
The leading brands for each of these top companies are Marriott International’s Moxy, at an all-time high, with 78 projects/14,013 rooms, Courtyard by Marriott with 31 projects/5,371 rooms, and the Autograph Collection, also at record counts, standing at 24 projects/3,041 rooms. AccorHotel’s top brands are the Ibis brands with 114 projects/14,204 rooms, Novotel with a record 28 projects having 4,360 rooms, and Mercure Hotel with 24 projects/3,021 rooms. Hilton Worldwide has Hampton by Hilton, at an all-time high, with 79 projects/12,486 rooms, Hilton Garden Inn 42 projects/7,092 rooms, and DoubleTree by Hilton with a record 26 projects having 3,214 rooms. IHG’s leading brands include Holiday Inn Express with 72 projects/11,161 rooms, Holiday Inn 32 projects/7,346 rooms, and Hotel Indigo 14 projects/1,457 rooms.
Hotel Projects Starting in the Next 12 Months are at an All-Time High in Latin America February 12, 2020According to the recent Lodging Econometrics (LE) Latin America construction pipeline report, analysts at LE state that the total construction pipeline stands at 711 projects/128,453 rooms, a 2% decline in projects and 3% increase in rooms, year-over-year (YOY).
There are 329 projects/58,315 rooms presently under construction and projects scheduled to start construction in the next 12 months are at an all-time high with 214 projects/43,050 rooms. Projects in the early planning stage stand at 168 projects/27,088 rooms.
New projects announced into the pipeline during 2019 were up 2% by projects, but a lofty 22% by rooms YOY with 261 projects/49,178 rooms compared to the 255 projects/40,282 rooms announced in 2018. This is the second time since 2011 that new project announcements have dropped below 300 projects. This suggests that Latin America’s pipeline is in a cyclical decline.
Throughout 2019, Latin America opened 118 new hotels/22,502 rooms, the lowest counts since 2013, which had 103 new hotels/15,932 rooms open. The forecast for 2020 will likely see an increase to 137 new hotel openings with 24,208 rooms and 2021 is forecast to rise slightly to 144 new hotels/24,713 rooms opening.
Pipeline declines continue throughout most of the markets in Latin America, most drastically seen in Brazil, which historically has had the largest construction pipeline in the region.
Currently, Mexico leads Latin America’s construction pipeline with an all-time high 228 projects/41,609 rooms, followed by Brazil with 140 projects/23,309 rooms. However, there is optimism that Brazil, the region’s largest economy, has the potential for growth in 2020 if the country continues to see a rise in domestic consumption, a resurgence in the construction and service sectors, steady implementation of reform policies, sustained and controlled inflation and continued low interest rates.
Following distantly behind Brazil is Peru, standing at 44 projects/6,100 rooms and then Colombia and Dominican Republic with 40 projects/6,372 rooms and 32 projects/8,361 rooms, respectively. Collectively, these five countries are responsible for 68% of all the projects in the total Latin America pipeline.
Top hotel companies in Latin America’s construction pipeline are Marriott International, at a new pipeline high, with 135 projects/23,562 rooms. AccorHotels follows with 101 projects/13,480 rooms, then Hilton Worldwide with 86 projects/12,212 rooms, and InterContinental Hotels Group (IHG) with 56 projects/6,804 rooms. These four companies account for 53% of the projects in the total construction pipeline and are forecast to see the highest number of new hotel openings in 2020 and 2021.
The top brands are AccorHotel’s Ibis brands with 70 projects/9,345 rooms, Hilton Garden Inn with 24 projects/3,316 rooms, Hampton by Hilton with 23 projects/2,716 rooms, Marriott’s Fairfield Inn with 17 projects/2,491 rooms, and IHG’s Holiday Inn Express with 17 projects/2,065 rooms.
Congratulations to 2019 ALIS Development of the Year Award Winners! February 5, 2020On Wednesday, January 29, 2020, JP Ford, SVP and Director of Global Business Development of Lodging Econometrics, presented the winners of the 2019 Full-Service and Select/Limited Service Developments of the Year with their prestigious award at the America’s Lodging Investment Summit (ALIS).
The winner in the Full-Service category: The TWA Hotel in New York, NY. Representing the property was: Tyler Morse and Russell Shattan from MCR Development.
Finalists in this category: Equinox Hotel Hudson Yards in New York, NY and the Seminole Hard Rock Hotel & Casino Hollywood in Hollywood, FL.
The winner in the Select/Limited Service category: The triple-branded AC Hotel by Marriott, Residence Inn by Marriott, and SpringHill Suites by Marriott Nashville Downtown/Convention Center in Nashville, TN. Representing the property was: Jay Patel and Whip Triplett from North Point Hospitality Group.
Finalists in this category: citizenM Boston North Station in Boston, MA and the Moxy NYC East Village in New York, NY.
Canada’s Construction Pipeline Soars to Record High February 4, 2020Analysts at Lodging Econometrics (LE) report that at year-end 2019, the total construction pipeline in Canada continues to ascend hitting an all-time high of 305 projects/39,984 rooms. The pipeline is up an impressive 15% by projects and 20% by rooms, year-over-year (YOY).
At the close of 2019, projects under construction are hitting record counts with 96 projects/12,007 rooms. Projects scheduled to start construction in the next 12 months, up an extraordinary 36% by projects and 28% by rooms, stand at 120 projects/13,785 rooms and projects in the early planning stage are also at an all-time high with 89 projects/14,192 rooms.
Canada’s hotel construction pipeline should remain strong and may continue to expand through 2020 as new project announcements also reached record counts in 2019. Further, interest rates are expected to remain stable, unemployment rates are near record lows, and inflation is being held in check.
Markets with the most projects in the pipeline continue to be led by Toronto, at an all-time high, with 55 projects/7,608 rooms. Toronto has 18% of all the projects in Canada’s construction pipeline. Distantly following are Montreal, also setting record counts, with 18 projects/2,406 rooms, then Vancouver with 14 projects/1,853 rooms, Niagara Falls with 13 projects/3,655 rooms, and Ottawa with 13 projects/1,976 rooms.
Canada had 54 new hotels/6,150 rooms open in 2019. In 2020, the country is forecast to have 60 new hotels/6,208 rooms open, and 2021 is expected to climb to 67 new hotels/7,218 rooms opening, likely to be the highest counts for this cycle.
The top hotel companies in Canada’s construction pipeline, both at all-time highs, are Marriott International with 64 projects/8,082 rooms and Hilton Worldwide with 60 projects/7,081 rooms. InterContinental Hotels Group (IHG) follows closely with 55 projects/5,288 rooms. These three companies claim 59% of the projects in the total construction pipeline.
The top brands in Canada’s pipeline are IHG’s Holiday Inn Express with 33 projects/3,241 rooms. Next is Hampton by Hilton with 29 projects/3,174 rooms, Hyatt Place with 16 projects/2,421 rooms and Marriott’s TownePlace Suites, at record counts, with 15 projects/1,652 rooms. Other notable brands in the pipeline are Courtyard by Marriott, at an all-time high, with 13 projects/2,020 rooms and Best Western Plus with 11 projects/982 rooms.
For the Second Consecutive Quarter, Los Angeles Leads in U.S. Hotel Construction Pipeline January 31, 2020At the close of 2019, analysts at Lodging Econometrics (LE) report that the top five U.S. markets with the largest total hotel construction pipelines are: Los Angeles, at a cyclical high, with 168 projects/28,501 rooms; Dallas with 160 projects/19,787 rooms; New York City with 158 projects/25,825 rooms; Atlanta, also at a cyclical high, with 143 projects/19,660 rooms; and Houston with 136 projects/14,114 rooms.
Under construction project counts are at an all-time high with 1,768 projects with 237,362 rooms. Markets with the greatest number of projects already in the ground are New York with 107 projects/17,268 rooms, Dallas with 47 projects/5,894 rooms, Los Angeles with 46 projects/7,064 rooms, Atlanta with 46 projects/5,643 rooms, and Nashville with 37 projects/6,634 rooms. These five markets collectively account for 16% of the total number of projects currently under construction in the U.S.
In the fourth quarter, Denver had the highest number of new projects announced into the pipeline with 19 projects/2,372 rooms. Following Denver is Atlanta with 18 projects/2,613 rooms, Phoenix with 14 projects/1,907 rooms, Orlando with 14 projects/1,855 rooms, and then Dallas with 13 projects/1,467 rooms.
Reflecting the strong cyclical highs in the pipeline, LE’s forecast for new hotel openings in the U.S. will continue to rise in 2020 and 2021, having a 2.3% and 2.4% growth rate, respectively. In 2020, the markets topping the forecast are New York City with 66 new hotels expected to open/8,424 rooms, Dallas with 34 projects/4,073 rooms, Atlanta with 27 projects/3,162 rooms, Houston with 27 projects/2,585 rooms, and Nashville with 23 projects/3,001 rooms. In the 2021 forecast, Dallas tops the list with the highest number of new hotels expected to open with 39 projects/4,381 rooms followed by Houston with 34 projects/3,313 rooms and New York City with 33 projects/5,680 rooms.
An important trend to monitor moving forward are markets with large pipelines as compared to their existing supply of open and operating hotels. These markets are likely to see the fastest supply growth and largest supply-demand variances over the next few years. At the end of 2019, there are 15 of the top 25 markets with total pipelines in excess of 15% of their current census. Nashville tops this list of markets at 34%, followed by Los Angeles, Detroit, Miami, Dallas, and New York.
Marriott Development Projects Lead the U.S. Hotel Construction Pipeline at the Close of 2019 January 29, 2020In the Lodging Econometrics (LE) year-end report for 2019, analysts detailed the leading franchise companies and their brands in the construction pipeline. Marriott International tops the list, at an all-time high, with 1,579 projects/207,906 rooms, followed by Hilton Worldwide with 1,370 projects/152,832 rooms, and InterContinental Hotels Group (IHG) with 943 projects/96,725 rooms. Sixty-eight percent of the projects in the total pipeline derive from these three franchise companies.
The leading brands by project count for these three companies continue to be Hilton’s Home2 Suites by Hilton with 408 projects/42,346 rooms, IHG’s Holiday Inn Express with 379 projects/39,644 rooms, and Marriott’s Fairfield Inn with 322 projects/31,119 rooms. These three brands dominate the total pipeline and combined claim 19% of the projects. These brands also had the highest number of new openings in 2019. Hilton’s Home2 Suites opened 90 new hotels, IHG’s Holiday Inn Express opened 85 and Marriott’s Fairfield Inn opened 64.
Other notable brands in the pipeline for each of these parent companies are: Hampton by Hilton with 308 projects/31,373 rooms and Hilton’s Tru by Hilton with 300 projects/29,065 rooms; Marriott’s TownePlace Suites with 218 projects/22,075 rooms and Residence Inn with 214 projects/26,199 rooms; and IHG’s Avid Hotel with 189 projects/17,157 rooms and Staybridge Suites with 150 projects/15,728 rooms.
In 2019, 1,017 new hotels/118,674 rooms opened, a 7% increase from 2018’s 954 new hotels/112,329 rooms. Of the 1,017 new hotels that opened, 28% are Marriott branded, 27% are Hilton branded, and 16% are IHG branded.
The LE forecast for new hotel openings in 2020 anticipates that Marriott will open 286 projects/36,767 rooms. Next is Hilton with 284 projects/30,499 rooms followed by InterContinental Hotels Group with 179 projects/17,667 rooms forecast to open by year-end.
U.S. Hotel Construction Pipeline Finishes 2019 Trending Upward January 27, 2020At the close of 2019, analysts at Lodging Econometrics (LE) report that the total U.S. construction pipeline continues to grow with 5,748 projects/708,898 rooms, up 4% by projects and 6% by rooms year-over-year (YOY). The pipeline has now completed its eighth consecutive year of growth. These robust year-end counts are a mere 135 projects/76,649 rooms shy of the all-time high of 5,883 projects/785,547 rooms reached in the second quarter of 2008.
Projects under construction continue to rise reaching an all-time high of 1,768 projects with 237,362 rooms, up 7% by projects and 10% by rooms, YOY. Projects scheduled to start construction in the next 12 months stand at 2,283 projects/265,161 rooms. Projects in the early planning stage are at 1,697 projects/206,375 rooms.
In 2019, the U.S. had 1,017 new hotels/118,674 rooms open, a 2.2% growth in new supply, bringing the total U.S. census to 57,903 hotels/5,486,909 rooms. The LE forecast for new hotel openings in 2020 anticipates a 2.3% supply growth rate with 1,127 new hotels/127,896 rooms expected to open. In 2021, the forecast for new hotel openings rises slightly to 1,162 new hotels/135,228 rooms, a 2.4% growth rate.
The hotel construction pipeline outlook in the U.S. should continue to remain optimistic through 2020 and through the early part of the new decade. The financial markets are strong, a partial trade agreement between the U.S. and China has been reached, and interest rates could very well go unchanged in 2020. Overall, the economy is in a good place, and the concerns of a possible recession have eased. Lenders continue to be cautious, but lending at attractive rates is still accessible to developers and should continue to drive development.
Los Angeles has the Largest Hotel Construction Pipeline in the United States January 24, 2020In the most recent Lodging Econometrics (LE) Construction Pipeline Trend report on Los Angeles, LE states that Los Angeles has a total of 168 projects/28,501 rooms in the construction pipeline, the largest pipeline of any market in the U.S. Of this total, hotels presently under construction are at 46 projects/7,064 rooms, projects scheduled to start construction in the next 12 months are at 56 projects/9,199 rooms, and those in early planning are at 66 projects/ 12,238 rooms. If all of the projects in the pipeline come to fruition, this will increase the city’s guest room supply by 27.1%.
The three market tracts with the largest hotel construction pipelines are: Los Angeles Central Business District with 47 projects/11,490 rooms; Los Angeles East with 32 projects/4,418 rooms; and Los Angeles North with 29 projects/3,037 rooms. These three important market tracts combined account for 67% of the rooms in Los Angeles’ total construction pipeline.
The market tracts with the most projects presently under construction are Los Angeles North with 12 projects/1,153 rooms; Los Angeles Central Business District with 10 projects/2,208 rooms; and Los Angeles East with 8 projects/1,333 rooms.
LE’s forecast for new hotel openings predicts that in 2020, Los Angeles will have a growth rate of 2.5% with 19 new hotels/2,589 rooms opening. In 2021, Los Angeles is forecast to jump to a 4.4% growth rate with 33 new hotels/4,784 rooms expected to open.
Asia Pacific’s Hotel Construction Pipeline, Excluding China, Continues in a Topping-Out Formation December 09, 2019In the recently released report from analysts at Lodging Econometrics (LE), Asia Pacific’s total construction pipeline, excluding China, continues in a four-quarter topping out formation with 1,779 projects/389,830 rooms, up 2% and 6% respectively, year-over-year (YOY).
The region currently has 958 projects/221,927 rooms under construction. There are 391 projects/78,032 rooms scheduled to start construction in the next 12 months and 430 projects in the early planning stage with room counts at an all-time high of 89,871 rooms. Brand conversions are also at an all-time high.
Excluding China, the Asia Pacific region opened 243 new hotels with 43,600 rooms through the close of the third quarter and is forecast to open another 95 new hotels/19,621 rooms by year-end. The LE forecast for new hotel openings will rise in 2020 to 374 projects with a record 77,315 rooms before slowing slightly in 2021 to 360 new hotels/71,077 rooms. In preparation for the 2020 summer Olympics, Japan continues to have the largest count of new hotels forecast to open in the region with 41% of all new hotels in 2019 and 30% in 2020.
Countries with the largest pipelines in Asia Pacific, excluding China, are led by Indonesia, with 375 projects/62,547 rooms, accounting for 21% of Asia Pacific’s total pipeline. Next is India with 236 projects/34,389 rooms, then Japan standing at 211 projects/44,014 rooms. These countries are followed by Vietnam with 134 projects having 56,720 rooms and Malaysia at 134 projects/36,252 rooms.
Cities with the largest construction pipelines in Asia Pacific are led by Jakarta, Indonesia with 84 projects/15,362 rooms. Next is Seoul, South Korea with 73 projects/13,945 rooms and Kuala Lumpur, Malaysia with 54 projects/14,232 rooms. Tokyo follows with 53 projects/12,375 rooms and Bangkok with 46 projects/12,305 rooms. Kuala Lumpur, Jakarta, and Seoul all have pipelines higher than 25% of their existing supply of open and operating hotels.
The top four franchise companies, accounting for 41% of all the projects and rooms in the pipeline, are: Marriott International with an all-time high of 258 projects/57,839 rooms; AccorHotels with 218 projects/46,092 rooms; InterContinental Hotels Group (IHG), at a record high 162 projects/36,045 rooms; and Hilton Worldwide, also with an all-time high of 91 projects/20,422 rooms.
Top brands in Asia Pacific’s construction pipeline, excluding China, include AccorHotels’ Ibis brands with 56 projects/10,735 rooms and Novotel with 41 projects/10,010 rooms. Marriott International’s two top brands are Fairfield Inn with 40 projects/6,472 rooms and Courtyard at 38 projects/8,044 rooms both at record highs. IHG’s Holiday Inn has 63 projects with 14,136 rooms while Holiday Inn Express has 33 projects/6,950 rooms. Hilton Worldwide’s DoubleTree and its full-service Hilton Hotel & Resorts are also at record highs with 33 projects/6,587 rooms and 30 projects/7,874 rooms, respectively.
China’s Hotel Construction Pipeline Has Grown to Record High December 05, 2019Analysts at Lodging Econometrics (LE) report that at the end of the third quarter of 2019, China’s total construction pipeline has grown to 3,380 projects/628,972 rooms. Currently the country has 2,548 projects with 438,797 rooms under construction with projects scheduled to start construction in the next 12 months at 404 projects with 85,026 rooms. Projects in the early planning stage have 428 projects/105,149 rooms.
Hotel development continues to thrive despite the continued economic struggles in the region and the on-going trade and tariff disputes with the United States. In the third quarter, China announced 661 new projects with 80,692 rooms into the pipeline.
Through the third quarter of 2019, China opened 658 new hotels/92,932 rooms with another 363 new hotels/45,799 rooms forecast to open by year-end. In 2020, 1,084 new hotels with a lofty 157,893 rooms are forecast to open. Should all of these hotels come online in 2020, then China will open the largest number of new hotel rooms since the cyclical peak in 2014. In 2021, following a year of all-time high new hotel openings, LE forecasts that the number of new hotel openings will decelerate to 773 hotels with 135,294 rooms.
Chengdu, at a record high 124 projects having 25,560 rooms, leads China’s pipeline. Guangzhou follows standing at 122 projects with 26,105 rooms, then Shanghai at 119 projects/22,581 rooms. Next is Wuhan and Suzhou with 111 projects/15,457 rooms and 88 projects/14,855 rooms, respectively. Also, notable, with strong room counts, are Hangzhou with 73 projects/15,647 rooms and Xi’an with 80 projects/15,054 rooms.
Four of the seven cities listed above have pipeline increases in excess of 20% of their existing open and operating supply with Chengdu having a pipeline in excess of 30%.
Franchise companies topping China’s construction pipeline are led by Hilton Worldwide with 454 projects/93,644 rooms. Next is InterContinental Hotels Group (IHG) with 375 projects/82,358 rooms and Marriott International with 315 projects/86,151 rooms. All three of these companies are setting record pipeline highs by projects and rooms and account for 34% of China’s total pipeline. Other notable franchise company pipelines are AccorHotels with 218 projects/35,556 rooms and JinJiang Holdings standing at 214 projects/22,548 rooms.
Brands in the pipeline are led by Hampton by Hilton with a record 273 projects/42,645 rooms. Hilton’s second largest brand, by project count, is DoubleTree with 59 projects/16,489 rooms. IHG’s primary brands in China are Holiday Inn Express, at a record count, with 179 projects/31,430 rooms and Holiday Inn with a record 61 projects having 15,435 rooms. Marriott International’s top brands are the full-service Marriott Hotel & Resort, hitting record highs, with 73 projects/22,068 rooms and then Courtyard with 39 projects/10,250 rooms. Leading brands for JinJiang Holdings are 7 Days Inn with 113 projects/8,931 rooms, and Vienna Hotel with 26 projects/3,300 rooms. AccorHotels’ leading brand, Ibis, is also hitting all-time highs with 102 projects/10,888 rooms, while Mercure Hotel also has a record number of projects with 58 and totaling 9,346 rooms.
The Global Construction Pipeline Ascends to New Record Highs September 27, 2019Lodging Econometrics (LE) recently compiled construction pipeline counts for every country and market around the world. Their analysts state that the total global construction pipeline ascended to a record high of 14,051 projects/2,327,923 rooms, a 9% increase in projects and an 8% increase in rooms year-over-year (YOY). The report summarizes development in 176 countries worldwide
With the exception of Latin America, all regions of the globe either continued to set record high pipeline counts or have already settled into topping-out formations amidst concerns of a worldwide economic slowdown. The fallout after the on-going trade dispute between the United States and China continues to be the leading contributor.
But, low-interest rates and accommodative lending terms are the primary catalysts behind pipeline growth as the global pipeline should continue to grow for the foreseeable future, albeit at a much slower pace.
There is a record high 6,565 projects currently under construction worldwide having 1,192,398 rooms. Projects scheduled to start construction in the next 12 months; peaking at an all-time high for both projects and rooms, stands at 4,392 projects/636,080 rooms. Projects in the early planning stage continue to grow, with a 6% increase in projects and 10% increase in rooms, YOY, standing at 3,094 and 499,445 respectively.
The top countries by project count are the United States with 5,653 projects/693,207 rooms, just 230 projects shy of its all-time high of 5,883 projects set in the second quarter of 2008, and China with a current pipeline of 2,991 projects/592,884 rooms, which is a new high. The U.S. accounts for 40% of projects in the total global construction pipeline while China has 21%, resulting in 61% of all global projects being concentrated in just these two countries. Distantly following are Indonesia with 378 projects/63,196 rooms, Germany with 320 projects/57,689 rooms, and the United Kingdom with 280 projects/40,970 rooms.
Around the world, the cities with the largest pipelines by project counts are Dubai with 173 projects/50,832 rooms, New York City with 166 projects/28,231 rooms, and Dallas, TX with 162 projects/19,972 rooms. Los Angeles, CA follows with 158 projects/25,428 rooms, and Houston, TX with 146 projects/14,998 rooms.
The leading franchise company in the global construction pipeline is Marriott International with 2,534 projects/420,562 rooms. Hilton Worldwide follows closely with 2,334 projects/340,626 rooms. Next is InterContinental Hotels Group (IHG) with 1,769 projects/259,057 rooms, and AccorHotels with 980 projects/175,002 rooms. These four company brands account for 54% of all projects in the pipeline.
Leading brands in the pipeline for each of these companies are IHG’s Holiday Inn Express with 737 projects/93,415 rooms, Hampton by Hilton with 689 projects/90,634 rooms, Marriott’s Fairfield Inn with 397 projects/43,451 rooms, and AccorHotel’s Ibis Brands with 387 projects/54,683 rooms.
The first half of 2019 saw a total of 1,374 new hotels/196,237 rooms open around the world with an additional 1,675 hotels/236,334 rooms scheduled to open by year-end. With the global pipeline being at an all-time high, LE forecasts that new hotel openings will continue to climb with 3,168 hotels expected to open in 2020. In 2021, new openings are forecast to reach 3,171 hotels. Should all hotels forecast to open by 2021 come to fruition, it will be the largest surge of new hotel openings, collectively around the world, that LE has ever recorded.
Lodging Econometrics Develops Premium Data Integration Services for Salesforce and Other Client Relationship Management Platforms February 21, 2019Lodging Econometrics (LE), the global leader for hotel real estate intelligence, announces that it has developed and added a premium data integration service to its business development database offerings. LEConnect for Salesforce and other Client Relationship Management (CRM) platforms allows for LE’s database of decision-makers for new hotel construction projects, renovations, conversions, and open & operating hotels to be seamlessly integrated into any CRM.
“Our clients were very pleased with the upgrades we made to our business development program database and strategy & forecasting center late last year, but recently expressed a need to receive our database content directly into their existing CRM platforms. This is precisely why we built LEConnect and developed this integration service. We’ve designed it so that our clients no longer need two platforms. Now LE can merge any of its global database programs for business development simply and seamlessly into a client’s existing Salesforce or other CRM platform, allowing clients to work entirely within their own platform,” said Timothy Ford, President of Lodging Econometrics.
By subscribing to and installing LEConnect, LE’s clients will be able to identify new accounts with the greatest potential, make more informed and better targeted decisions, increase their sales, and save considerable sales time and staff resources. As with all of LE’s programs, LE also provides staff training and continual support to ensure the successful implementation of their database services throughout the client’s organization.
“For any sales organization in the lodging industry, franchise company, hotel ownership or management group or vendor, LEConnect can immediately improve their productivity and increase their sales. And, for those without an existing CRM platform, LE’s database has the functionality to serve as an organization’s stand-alone CRM platform. We are excited at the opportunity to deliver these new database services to our existing and future clients. Our cutting-edge service removes the frustration and logistics from the data integration process,” said Ford.
To learn how you can get connected with LE’s Business Development Programs, contact us at +1 603.431.8740 or firstname.lastname@example.org.
Lodging Econometrics’ Patrick H. Ford Receives Lifetime Achievement Award at The Lodging ConferenceOctober 2, 2018 – PORTSMOUTH, NH – Patrick H. Ford, Chairman, CEO, and Founder of Lodging Econometrics (LE) and New England Hotel Realty (NEHR) of Portsmouth, NH, has received the 2018 Lifetime Achievement Award for the hospitality industry, which was presented at The Arizona Biltmore on September 25, 2018. The Lodging Conference’s founder and producer, Harry Javer and hospitality veteran Michael A. Leven, chairman and CEO of Georgia Aquarium, presented the award to Ford. Nearly two thousand industry members were in attendance at this year’s conference.
The prestigious Lifetime Achievement Award recognizes an individual who has provided outstanding, life-long contributions to the hospitality industry. In a career spanning more than 50 years, Pat Ford began his career with the Dunfey Hotel Company, the predecessor to the Omni Hotel Company, where he spent 20 years in a variety of operational and executive roles. He then created and developed New England Hotel Realty as the largest, full-service hotel brokerage firm in the Northeast. In 1995, at the urging of a number of hotel companies and Wall Street Investment Firms, he founded Lodging Econometrics (LE) to compile lodging development and transaction data for the U.S.
Within two years, LE replicated their development research programs in every country of the world. Shortly thereafter, LE positioned away from solely being a data provider towards being a lodging sales and marketing specialty firm as well as providing a variety of customized new hotel construction and supply side databases, and trend line and forecast reports that assist franchise development teams, investor groups and vendors to grow their business within the lodging industry. In 2017, Lodging Econometrics was honored by the Peter Paul School of Business at the University of New Hampshire as the most outstanding family business in New Hampshire.
In Ford’s acceptance speech he said, “My career has been chuck-a-block full of opportunities and blessings. Like any lifelong journey it’s required hard work and an ongoing dedication to personal growth. But those are the requirements of any successful journey. I’ve lived a charmed life! It’s been a great ride! The industry is in my blood and it will continue to stimulate my interest until the end.”
Timothy Ford Appointed President of Lodging Econometrics and New England Hotel RealtyPortsmouth, NH – Patrick Ford, Chairman of Lodging Econometrics (LE), the global leader for hotel real estate intelligence, and New England Hotel Realty (NEHR), the leading full-service hotel real estate advisory brokerage firm in the Northeast, announced today that Timothy Ford has been appointed President of both companies.
“Timothy is a proven leader who most recently served as Executive Vice President, where he was responsible for the company’s technology initiatives, the growth of our client services, overseeing the sales and marketing departments and most notably for taking LE’s trusted U.S. Business Development Programs and expanding them into every region and country worldwide. Incorporating the latest cutting-edge technology, he has also re-designed LE’s online business development program delivery systems, including our global database of hotel development records and portfolio of lodging real estate trend and management guidance reports for client sales teams,” said Ford.
In his new role as President, Timothy will be responsible for creating new business partnerships; continuing to incorporate the latest online technology into our research and deliverables; creating additional business development programs for our roster of franchise clients looking to accelerate their brand growth, hotel ownership and management groups seeking to expand their real estate portfolios, and lodging vendors wanting to increase their sales to the industry.
Ford continued, “it’s a terrific time for the lodging industry and an opportunistic time for our company. Timothy offers the right mix of outstanding vision and proven execution to continue moving our companies forward.”
“I am humbled and honored to be appointed as President, to provide the leadership for our strategic growth, and to continue to serve our clients with unmatched hotel real estate intelligence,” said Timothy Ford. “I look forward to working closely with the board and the LE and NEHR teams to further our vision for the years ahead.”
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