The Europe hotel development pipeline comprises 905 hotels totalling 142,785 rooms, while there are 3,358 hotels totaling 403,715 rooms Under Contract in the United States. The Middle East/Africa hotel region reported 646 hotels Under Contract totalling 151,579 rooms.
There are 3,358 hotels totaling 403,715 rooms Under Contract in the United States, according to the October 2014 STR Pipeline Report. This represents a 15.0-percent increase in the number of rooms Under Contract compared with October 2013 and a 31.0-percent increase in rooms under construction. The Under Contract data includes projects in the In Construction, Final Planning and Planning stages but does not include projects in the Unconfirmed stage.
“Upscale and Upper Midscale hotels continue to dominate U.S. development numbers, accounting for over two-thirds of rooms under construction,” said Bobby Bowers, senior VP of operations at STR, Inc. “Total U.S. under construction rooms increased by 31.0 percent versus October 2013, with all STR Chain Scale segments, except Luxury and Economy, showing solid increases. Upper Upscale construction activity increased by 3,198 rooms (+40.5 percent) and Midscale moved ahead by 1,938 rooms (+51.2 percent). STR expects U.S. room supply to continue inching forward and reach growth of over 1 percent in 2015.”
Among the Chain Scale segments, the Luxury segment reported the largest increase in rooms Under Contract, rising 22.6 percent with 9,127 rooms. The Upper Upscale segment (+21.3 percent with 30,117 rooms) and the Upper Midscale segment (+21.1 percent with 119,450 rooms) also reported increases of more than 20.0 percent in rooms Under Contract. The Economy segment reported the only decrease in rooms Under Contract, falling 10.1 percent with 4,105 rooms.
Three segments reported increases of more than 35.0 percent in rooms In Construction: the Midscale segment (+51.2 percent with 5,726 rooms); the Upper Upscale segment (+40.5 percent with 11,091 rooms); and the Upscale segment (+38.6 percent with 43,752 rooms). The Economy segment (-30.0 percent with 732 rooms) and the Luxury segment (-19.4 percent with 3,542 rooms) reported the only decreases in rooms In Construction.
Caribbean/Mexico hotel pipeline
The Caribbean/Mexico hotel development pipeline comprises 167 hotels totaling 29,430 rooms. This represents an 18.3-percent increase in rooms Under Contract compared with October 2013 and an 18.2-percent increase in rooms In Construction. The total rooms Under Contract include rooms in the In Construction, Final Planning and Planning stages but do not include rooms in the Unconfirmed stage.
Among the countries in the region, Mexico reported the largest number of rooms In Construction with 7,957 rooms. Three other countries reported more than 500 rooms In Construction: Bahamas (2,681 rooms); Cuba (1,176 rooms); and the Dominican Republic (715 rooms).
Central/South America pipeline
The Central/South America hotel development pipeline comprises 439 hotels totalling 70,970 rooms. The total Under Contract data includes projects in the In Construction, Final Planning and Planning stages but does not include projects in the Unconfirmed stage.
Among the Chain Scale segments, four segments each accounted for more than 15.0 percent of rooms Under Contract: the Upscale segment (20.6 percent with 14,628 rooms); the Upper Midscale segment (20.6 percent with 14,620 rooms); the Midscale segment (20.4 percent with 14,487 rooms); and the Upper Upscale segment (18.5 percent with 13,118 rooms). The Unaffiliated segment accounted for the smallest portion of rooms Under Contract with 3.6 percent and 2,575 rooms.
Four segments each accounted for more than 15.0 percent of rooms In Construction: the Upscale segment (27.4 percent with 7,225 rooms); the Upper Midscale segment (19.6 percent with 5,165 rooms); the Midscale segment (18.6 percent with 4,911 rooms); and the Upper Upscale segment (17.6 percent with 4,635 rooms).
Europe hotel pipeline
The Europe hotel development pipeline comprises 905 hotels totalling 142,785 rooms. The Under Contract data includes projects in the In Construction, Final Planning and Planning stages but does not include projects in the Unconfirmed stage.
Year-to-date 2014, 391 hotels with 61,961 rooms have opened in Europe. In the remainder of the year, 74 more hotels with 8,412 rooms are planned to open. The Upper Midscale segment (19 hotels with 1,973 rooms) and the Economy segment (14 hotels with 1,933 rooms) are expected to open the most rooms.
In 2015, 235 hotels with 36,788 rooms are expected to open. The Upscale segment is planning to add 10,399 rooms within 60 hotels, the most rooms of all the Chain Scale segments. Three other segments are expecting to add more than 5,000 rooms in 2015: the Upper Midscale segment (6,224 rooms within 41 hotels); the Upper Upscale segment (5,583 rooms within 27 hotels); and the Economy segment (5,045 rooms within 30 hotels).
MEA pipeline
The Middle East/Africa hotel region reported 646 hotels Under Contract totalling 151,579 rooms. The Under Contract data includes projects in the In Construction, Final Planning and Planning stages but does not include projects in the Unconfirmed stage.
Among the Chain Scale segments, the Upper Upscale segment accounted for the largest portion of rooms Under Contract (36.4 percent) in the region with 55,172 rooms. Three other segments each accounted for more than 10.0 percent of rooms Under Contract: the Luxury segment (18.9 percent with 28,628 rooms); the Upscale segment (18.4 percent with 27,833 rooms); and the Unaffiliated segment (14.1 percent with 21,327 rooms).
The Upper Upscale segment accounted for the largest portion of rooms In Construction (37.4 percent) with 27,503 rooms, followed by the Luxury segment (21.7 percent with 15,952 rooms) and the Upscale segment (19.6 percent with 14,429 rooms).
Tatiana is the news coordinator for TravelDailyNews Media Network (traveldailynews.gr, traveldailynews.com and traveldailynews.asia). Her role includes monitoring the hundreds of news sources of TravelDailyNews Media Network and skimming the most important according to our strategy.
She holds a Bachelor's degree in Communication & Mass Media from Panteion University of Political & Social Studies of Athens and she has been editor and editor-in-chief in various economic magazines and newspapers.
