This article provides insight into the unique design of micro hotels, where demand is growing, and why these properties are a favourable investment to meet the growing demand of millennial travellers.
Accors portfolio covered 24,512 rooms as of 31 July 2019, while Marriott accounted for 24,508 rooms. The companies also lead the development pipeline with 19,745 and 15,219 rooms under contract, respectively. Under contract covers the in construction, final planning and planning phases of the pipeline.
Accor accounts for the largest hotel room presence in the Central/South America region, followed by Marriott International, according to census data from STR.
Analysts at Lodging Econometrics (LE) report that Europes hotel construction pipeline soared to record high counts in the second quarter of 2019 with 1,704 projects having 260,111 rooms, for a dramatic 23% increase in projects and 19% increase in rooms year-over-year (YOY).
In a recent report by analysts at Lodging Econometrics (LE), the Middle East hotel construction pipeline stands at 640 projects/181,890 rooms, up 6% and 4%, respectively, year-over-year (YOY). This is an all-time high for projects in the region.
It pays to be mindful of how a decline could affect individual markets and where unaccommodated demand might pop up in the ensuing recovery.
Analysts at Lodging Econometrics report that at the end of the first half of 2019, Chinas total construction pipeline swelled to 2,991 projects/592,884 rooms, up 19% by projects and 7% by rooms year-over-year (YOY), both at all-time highs, amidst an economic slowdown. The China growth rate is expected to be 6.2% for 2019, the lowest reported since 1990.
In an increasingly tight real estate market, more and more investors are finding value in adapting obsolete buildings.
The Central/South America region reported 21,937 rooms in construction as of July 2019, which is a 7.1% year-over-year decrease.
According to the recent Latin America construction pipeline trend report from Lodging Econometrics (LE), the total construction pipeline is in its third year of decline by rooms and has 710 projects/123,392 rooms. 710 projects is the lowest number of projects in the pipeline since the fourth quarter of 2013.