STR Reports U.S. Hotel Pipeline for March 2010
The total active U.S. hotel development pipeline includes 3,399 projects comprising 354,538 rooms, according to the March 2010 STR/TWR/Dodge Construction Pipeline Report released this week.
This represents a 35.7-percent decrease in the number of rooms in the total active pipeline compared to March 2009. The total active pipeline data includes projects in the In Construction, Final Planning and Planning stages, but does not include projects in the Pre-Planning stage.
“Most markets are experiencing a degree of decline in the number of rooms in construction; however, for some the change from last year is astounding,” said Duane Vinson, vice president at STR. “Orlando, Florida, for example, went from 5,900 rooms in construction last year to fewer than 1,300 this March. The Phoenix, Arizona, market moved from nearly 4,750 rooms to just over 800. Most profound though has to be Las Vegas, Nevada, where the number of rooms at this point last year stood at 10,600 and is currently fewer than 1,600.
“Fifteen of the Top 25 Markets have more than a 50-percent decline in year-over-year rooms in construction,” Vinson continued. “This compares with only five that have such a decline in the total number of rooms in the Active Pipeline.”
Among the Top 10 Markets by rooms in the In Construction phase, New York, New York, topped the list with 10,537 rooms, a 12.8-percent decrease from 2009. Three other markets reported more than 2,000 rooms in the In Construction phase: Houston, Texas (2,699 rooms); Washington, D.C. (2,471 rooms); and Dallas, Texas (2,012 rooms). In year-over-year measurements, Las Vegas ended the month with the largest decrease of rooms in the In Construction phase, falling 84.9 percent to 1,598 rooms, followed by Phoenix with an 82.9-percent decrease to 812 rooms.
U.S. pipeline Top 10 Markets by number of rooms in construction:
|
Region |
Existing Supply (rooms) |
In Construction (rooms) |
Percent Change |
|
New York, NY |
91,318 |
10,537 |
-12.8% |
|
Houston, TX |
70,810 |
2,699 |
-40.8% |
|
Washington, D.C.-MD-VA |
102,227 |
2,471 |
-52.9% |
|
Dallas, TX |
76,809 |
2,012 |
-41.0% |
|
Las Vegas, NV |
165,560 |
1,598 |
-84.9% |
|
Atlanta, GA |
94,425 |
1,520 |
-63.9% |
|
Chicago, IL |
108,041 |
1,436 |
-45.8% |
|
Orlando, FL |
118,806 |
1,269 |
-78.5% |
|
Denver, CO |
39,143 |
879 |
-46.2 |
|
Phoenix, AZ |
60,105 |
812 |
-82.9% |
Source: STR
About STR/TWR/Dodge Construction Pipeline Report:
The Pipeline Report is co-produced by Torto Wheaton Research, Dodge Construction, and dedicated pipeline team at STR. Available as an annual subscription or a local Market Supply Report, the Pipeline Report is a comprehensive look at new hotel development and existing supply in the U.S. and Canada.
About STR
STR provides clients —including hotel operators, developers, financiers, analysts and suppliers to the hotel industry—access to hotel research with regular and custom reports covering North America, Mexico and Caribbean. STR provides a single source of global hotel data covering daily and monthly performance data, forecasts, annual profitability, pipeline and census information. STR founded the STR family of companies and is proudly associated with STR Global, RRC Associates, STR Analytics, and HotelNewsNow.com. For more information, please visit www.str.com.
