LONDON — STR’s March 2017 Pipeline Report shows 153,298 rooms in 546 hotel projects Under Contract in the Middle East and 59,200 rooms in 319 projects Under Contract in Africa.
Under Contract data includes projects in the In Construction, Final Planning and Planning stages but does not include projects in the Unconfirmed stage.
The Under Contract total in the Middle East represents a 1.1% increase in rooms Under Contract compared with March 2016. Specifically in the In Construction phase, the Middle East reported 79,960 rooms in 258 hotels. Based on number of rooms, that is a 0.6% decrease in year-over-year comparisons.
Middle East pipeline by Chain Scale (number of rooms):
Middle East pipeline by Chain Scale (number of rooms):
| Chain Scale | In Construction | Under Contract |
| Luxury | 10,744 | 20,983 |
| Upper Upscale | 23,289 | 43,619 |
| Upscale | 12,163 | 32,213 |
| Upper Midscale | 7,490 | 16,415 |
| Midscale | 3,158 | 10,813 |
| Economy | 0 | 0 |
| Unaffiliated | 23,116 | 29,255 |
| Total | 79,960 | 153,298 |
Source: STR / report as of March 2017, activity reported through February 2017
Under Contract data includes those projects in the In Construction, Final Planning and Planning stages
Under Contract data includes those projects in the In Construction, Final Planning and Planning stages
The Under Contract total in Africa represents a 3.9% decrease in rooms Under Contract compared with March 2016. In the In Construction phase, Africa reported 28,768 rooms in 157 hotels. Based on number of rooms, that is a 6.1% decrease in year-over-year comparisons.
Africa pipeline by Chain Scale (number of rooms):
| Chain Scale | In Construction | Under Contract |
| Luxury | 3,339 | 9,081 |
| Upper Upscale | 12,139 | 22,479 |
| Upscale | 7,321 | 14,755 |
| Upper Midscale | 1,766 | 4,523 |
| Midscale | 2,947 | 5,938 |
| Economy | 0 | 0 |
| Unaffiliated | 1,256 | 2,424 |
| Total | 28,768 | 59,200 |
Source: STR / report as of March 2017, activity reported through February 2017
Under Contract data includes those projects in the In Construction, Final Planning and Planning stages
Under Contract data includes those projects in the In Construction, Final Planning and Planning stages
Central/South America hotel performance for March 2017
STR’s March 2017 Pipeline Report shows 571,311 rooms in 4,721 hotel projects Under Contract in the United States. The total represents a 14.4% increase in the number of rooms Under Contract compared with March 2016.
STR’s March 2017 Pipeline Report shows 571,311 rooms in 4,721 hotel projects Under Contract in the United States. The total represents a 14.4% increase in the number of rooms Under Contract compared with March 2016.
Under Contract data includes projects in the In Construction, Final Planning and Planning stages, but does not include projects in the Unconfirmed stage.
In the In Construction stage, the U.S. reported 190,764 rooms in 1,449 projects. Based on the number of rooms, that is a 24.4% increase in year-over-year comparisons.
“Construction was actually down a bit from last month, but we’re still nearing the room construction peak (211,000 rooms) reached in 2007,” said Bobby Bowers, STR’s senior VP of operations. “Almost half (47.6%) of hotel room construction activity today is occurring in the major markets. And because room construction in 20 of those markets represents 3% or more of their respective existing supply, it’s no surprise to see muted performance growth.”
Among the Top 26 Markets, New York, New York, reported the most rooms Under Contract (28,166 rooms) and most rooms In Construction (15,911 rooms).
“Those almost 16,000 rooms account for 8% of all U.S. construction activity and just under 14% of New York City’s existing supply,” Bowers said.
Three additional markets each reported more than 15,000 rooms Under Contract for the month: Dallas, Texas (18,351 rooms); Houston, Texas (16,774 rooms); and Los Angeles/Long Beach, California (16,510 rooms).
Two of those markets reported more than 5,000 rooms In Construction: Dallas (7,184 rooms) and Los Angeles/Long Beach (5,924 rooms).
Two markets each reported fewer than 1,000 rooms In Construction: Norfolk/Virginia Beach, Virginia (456 rooms), and Oahu Island, Hawaii (180 rooms).
Top 10 U.S. Markets (sorted by In Construction phase)
Top 10 U.S. Markets (sorted by In Construction phase)
| Market | Existing Supply | In Construction March 2017 | In Construction March 2016 | In Construction YOY % change |
| New York, NY | 115,295 | 15,911 | 15,145 | +5.1% |
| Dallas, TX | 82,710 | 7,184 | 4,428 | +62.2% |
| Los Angeles/Long Beach, CA | 99,195 | 5,924 | 4,931 | +20.1% |
| Seattle, WA | 43,485 | 5,155 | 2,647 | +94.7% |
| Houston, TX | 85,702 | 4,964 | 5,296 | -6.3% |
| Nashville, TN | 39,959 | 4,868 | 1,814 | +168.4% |
| Denver, CO | 45,427 | 4,672 | 2,876 | +62.4% |
| Las Vegas, NV | 164,814 | 4,207 | 3,905 | +7.7% |
| Washington, DC-MD-VA | 110,452 | 4,085 | 3,146 | +29.8% |
| Chicago, IL | 114,183 | 3,840 | 3,186 | +20.5% |
Source: STR / report as of March 2017, activity reported through February 2017
Europe hotel performance for March 2017
STR’s March 2017 Pipeline Report shows 162,732 rooms in 1,035 hotel projects Under Contract in Europe. The total represents a 0.7% decrease in rooms Under Contract compared with March 2016.
Under Contract data includes projects in the In Construction, Final Planning and Planning stages but does not include projects in the Unconfirmed stage.
Europe reported 73,370 rooms in 461 projects In Construction for the month. Based on number of rooms, that is a 16.2% increase in year-over-year comparisons.
Among Chain Scale segments, the Upper Midscale segment accounted for the largest portion of rooms Under Contract (27.8% with 45,206 rooms) and In Construction (24.0% with 17,625 rooms).
Upscale (23.1% with 16,927 rooms) was the only other segment to represent 20.0% or more of rooms In Construction.
Europe pipeline by Chain Scale (number of rooms):
Europe pipeline by Chain Scale (number of rooms):
| Chain Scale | Existing Supply | In Construction | Under Contract |
| Luxury | 77,000 | 5,087 | 7,860 |
| Upper Upscale | 269,838 | 13,320 | 24,756 |
| Upscale | 538,039 | 16,927 | 35,821 |
| Upper Midscale | 416,054 | 17,625 | 45,206 |
| Midscale | 298,187 | 4,505 | 8,932 |
| Economy | 263,458 | 9,428 | 16,701 |
| Unaffiliated | 2,827,255 | 6,478 | 23,456 |
| Total | 4,689,831 | 73,370 | 162,732 |
Source: STR / report as of March 2017, activity reported through February 2017
Under Contract data includes those projects in the In Construction, Final Planning and Planning stages
Under Contract data includes those projects in the In Construction, Final Planning and Planning stages
Central/South America hotel pipeline for March 2017
STR’s March 2017 Pipeline Report shows 60,284 rooms in 385 hotel projects Under Contract in the Central/South America region. The total represents a 17.7% decrease in rooms Under Contract compared with March 2016.
STR’s March 2017 Pipeline Report shows 60,284 rooms in 385 hotel projects Under Contract in the Central/South America region. The total represents a 17.7% decrease in rooms Under Contract compared with March 2016.
Under Contract data includes projects in the In Construction, Final Planning and Planning stages but does not include projects in the Unconfirmed stage.
The region reported 27,421 rooms in 170 projects In Construction for the month. Based on number of rooms, that is a 14.6% decrease in year-over-year comparisons.
Two Chain Scale segments each accounted for 20.0% or more of the rooms Under Contract in the region: Upper Upscale (22.1% with 13,303 rooms) and Upscale (20.4% with 12,286 rooms).
Specifically in the In Construction phase, only the Upscale segment (22.5% with 6,164 rooms) accounted for 20.0% or more of the region’s total.
Central/South America pipeline by Chain Scale (number of rooms):
Central/South America pipeline by Chain Scale (number of rooms):
| Chain Scale | Existing Supply | In Construction | Under Contract |
| Luxury | 14,304 | 2,031 | 3,272 |
| Upper Upscale | 32,860 | 5,104 | 13,303 |
| Upscale | 64,363 | 6,164 | 12,286 |
| Upper Midscale | 46,963 | 4,898 | 11,364 |
| Midscale | 32,591 | 5,059 | 11,424 |
| Economy | 9,573 | 3,139 | 6,851 |
| Unaffiliated | 308,744 | 1,026 | 1,784 |
| Total | 509,398 | 27,421 | 60,284 |
Source: STR / report as of March 2017, activity reported through February 2017
Under Contract data includes those projects in the In Construction, Final Planning and Planning stages
