PORTSMOUTH, NH - According to the latest Europe Hotel Construction Pipeline Trend Report from Lodging Econometrics (LE), analysts report that at the close of the third quarter of 2020, Europe’s hotel construction pipeline increased 7% by projects and 11% by rooms year-over-year (YOY) to end the quarter with 1,834 projects and 291,823 rooms. Much like other regions around the world, Europe’s hotel construction pipeline is experiencing slight delays to project timelines of approximately two to four months. Even as much of Europe goes under lockdown in response to surging cases of COVID-19, forcing millions to stay home, construction remains essential and this has kept pipeline counts steady YOY.
Rooms under construction stand at an
all-time high of 151,471 rooms from 921 projects and are up 11% by projects and
15% by rooms YOY. Projects scheduled to start construction in the next 12
months are at 478 projects/75,166 rooms, down slightly YOY. Projects in the
early planning stage have 435 projects/65,186 rooms, up 13% and 18%
respectively, YOY. During the third quarter of 2020, Europe opened 96
hotels/12,014 rooms, the most opened in Europe in a single quarter of 2020 thus
far. Q3 ’20 also had a 38% increase in the total number of hotels that opened
over Q2 ’20, a strong sign, certainly.
The United Kingdom leads the
construction pipeline with 345 projects/52,065 rooms, and then Germany with 310
projects/55,930 rooms. France follows with 168 projects/20,646 rooms. Next is
Portugal, at an all-time high, with 124 projects/14,430 rooms, and then Poland
with 91 projects/14,282 rooms.
The cities in Europe with the largest
pipelines include London with 91 projects/16,331 rooms; Dusseldorf, at all time
record counts, with 60 projects/11,510 rooms; and Paris at 41 projects/6,351
rooms. Next is Moscow with 31 projects and a room count total of 6,430. This is
followed by Hamburg with 31 projects/6,313 rooms.
Accor
Hotels leads franchise
companies in Europe with the largest pipeline by projects, at 246
projects/34,483 rooms. Accor is followed by Marriott International with
215 projects/35,817 rooms. Hilton Worldwide is
next with, an all-time high of, 214 projects/33,641 rooms. Hilton is followed
by InterContinental
Hotels Group (IHG) with 152 projects/24,438 rooms.
The leading brands for these four
companies are Accor Hotel’s Ibis brands with 103 projects/13,389 rooms and then Mercure
Hotels with 29 projects/3,463 rooms, a record high room
count total, and Novotel with 26
projects/4,364 rooms. An up and coming brand for Accor is proving to be Tribe
by Accor, with a record-high 15 projects/2,467 rooms in the
pipeline in Q3 ’20. Marriott International’s top brands are Moxy with 68
projects/12,187 rooms, Courtyard by Marriott with
26 projects/4,589 rooms, and Autograph Collection with
22 projects/2,873 rooms. Hilton Worldwide is led by Hampton by Hilton at
all-time record high totals of 87 projects/13,635 rooms, Hilton
Garden Inn with 47 projects/7,811 rooms, and DoubleTree
by Hilton with an all-time high 31 projects having 4,011
rooms. IHG’s top brands include Holiday Inn Express with
65 projects/10,022 rooms, Holiday Inn with 28
projects/6,798 rooms, and Hotel Indigo with
16 projects/1,691 rooms.
*COVID-19
(coronavirus) has had an unprecedented impact on the world and the hospitality
industry. LE’s market intelligence department has and will continue to gather
global hotel intelligence on the supply side of the lodging industry and make
that information available to our subscribers. It is still early to predict the
full impact the pandemic will have on the lodging industry. We will have more
information to report in the coming months.
Tags: Lodging Econometrics
