The Total Construction Pipeline for the United States stood at 5,652 projects/740,272 guest rooms as of the end of Q3. Pipeline counts are down, quarter-over-quarter, 4% and 6% respectively.
Declines were modest in the Under Construction and Early Planning stages. Declines were significant in the Scheduled Starts in the Next 12 Months. A number of projects actually migrated backwards into Early Planning.
Construction Starts in Q3 were down for the second quarter in a row, while Cancellations and Postponements of projects already in the Pipeline increased for the third consecutive quarter.
The Leading Companies and Brands in the U.S. have strong Development Pipelines. Including both New Construction and Conversions, Marriott, Hilton and InterContinental each have Pipelines in excess of 100,000 rooms.
Not only has the financing crisis impacted development activity, it has seriously affected Transactions as well. Both Transaction volume and Average Selling Price per Room are significantly lower thus far in 2008.
To view the entire LE Lodging Construction Report for the United States, including graphics and the Forecast for New Hotel Openings, please click here.
About Lodging Economterics (LE)
Lodging Econometrics (LE) of Portsmouth, NH is the global authority for hotel real estate. LE conducts Supply Side research for all markets, countries, companies and brands - worldwide!
Launched in 1995 with the encouragement of Wall Street analysts and many Lodging Industry leaders, Lodging Econometrics (LE) is the recognized authority on all hotel real estate including the Development Pipeline and the Sale and Transfer of Lodging Real Estate nationwide. LE also compiles and maintains the Industry's Census of Open and Operating Hotels including the Names of Owners & Management for more than 60,000 hotels in the U.S. and Canada.
To learn more about LE's products and services, please contact LE at +1 603-431-8740 ext. 25.