THE AMERICAS AND Asia Pacific saw a year-over-year increase in hotel pipeline activity at the end of second quarter, according to CoStar. The U.S. leads the Americas with around 157,713 rooms under construction, while China tops the Asia Pacific with 319,012 rooms under construction.
In the Americas, construction surged to around 208,718 rooms, an 8.3 percent rise from June 2023, CoStar’s June 2024 data showed. Final planning had 299,153 rooms, up 6.9 percent from the previous year, while the planning phase saw 385,945 rooms, a significant 34.6 percent increase. The region had 893,816 rooms under contract, a notable 17.8 percent uptick.
After the U.S., Mexico recorded about 13,301 rooms under construction, with Canada and Brazil following at 8,686 and 5,948 rooms, respectively, CoStar said.
Asia Pacific pipeline growth
Construction activity surged to approximately 503,770 rooms in Asia Pacific, a 4.4 percent increase from June 2023, CoStar found. However, final planning saw a decrease to about 91,282 rooms, reflecting a 22.9 percent decline from the previous year.
The planning phase included approximately 323,931 rooms, a 16.5 percent increase from the previous year. Additionally, the region had 918,983 rooms under contract, reflecting a 4.5 percent rise from the same period in 2023.
Vietnam followed China with 36,521 rooms in the region.
Germany tops Europe
Construction activity totaled around 165,858 rooms in Europe, a 2.4 percent decrease from June 2023, CoStar data showed. Final planning accounted for 93,241 rooms, reflecting a notable 20.9 percent drop from the previous year.
However, the planning phase saw an increase to approximately 160,651 rooms, up 8 percent from the previous year. Moreover, Europe had 419,750 rooms under contract, a 3.8 percent decline from the same period in 2023.
Germany led in construction activity with 27,302 rooms in Europe, closely followed by the U.K. with 25,312 rooms.
Saudi leads ME&A
Construction activity in the Middle East and Africa totaled approximately 109,005 rooms, a 5.6 percent decrease from June 2023, CoStar said. Final planning comprised 33,040 rooms, reflecting a notable 23.8 percent drop from the previous year.
The planning phase had approximately 80,020 rooms, a 9.2 percent decrease from the previous year. Additionally, the Middle East had 225,065 rooms under contract, reflecting a 4.2 percent decline from the same period in 2023.
Most of the region’s pipeline activity is focused in the Middle East, with Saudi Arabia leading at 42,786 rooms and the UAE following with 18,933 rooms under construction.
In April, CoStar’s first quarter findings showed the Americas as the only region with a year-over-year pipeline surge, with the U.S. leading in room construction at around 156,525 rooms.
