Development

According to a recent report by Global Asset Solutions, the hotel sector in Australia and New Zealand is experiencing a significant upturn, driven by increased international investor interest and a rebound in tourism.

The Q1 2025 Hotel Construction Pipeline Trend Report from Lodging Econometrics shows an 8% year-on-year increase in Middle Eastern hotel construction projects, with 634 projects encompassing 158,656 rooms.

Despite rising global uncertainty, lenders’ appetite for Australian investment opportunities remains strong, according to a recent survey by CBRE.

Saudi Arabia’s rapid growth in the global tourism sector, driven by major development projects, creates unique investment opportunities, especially in emerging cities. The country is expected to command 58% of the Middle East and North Africa (MENA) hotel supply by 2028, according to a report by JLL.

The luxury and upper upscale chain scales achieved record highs with 132 projects/17,124 rooms and 281 projects/45,091 rooms, respectively.

The Asia Pacific Excluding China (APEC) hotel construction pipeline continued to grow at the end of Q1 2025. According to the Q1 2025 Hotel Construction Pipeline Trend Report by Lodging Econometrics (LE), the total pipeline in the APEC region stood at 2,074 projects and 408,213 rooms. This denotes a 3% annual increase in projects and a 1% increase in rooms.

The Hotel Construction Pipeline Trend Report for China from Lodging Econometrics (LE) for Q1 2025 shows that China’s construction pipeline is currently at 3,704 projects/670,185 rooms. This slightly decreased from the peak project total that the pipeline reached in Q3 2024. LE also highlights that upscale chain-scale projects in China have reached their highest-ever total. 

According to the Latin America Construction Pipeline Trend Report by Lodging Econometrics (LE), the Latin America hotel construction sector reported an 18% growth in projects and an 11% growth in rooms year-over-year (YOY) at the end of Q1 2025.

Canada’s hotel construction pipeline has reached unprecedented levels, with the total number of projects soaring to 341, according to the latest Hotel Construction Pipeline Trend Report from Lodging Econometrics (LE).

According to a report by Lodging Econometrics, Dallas had the largest hotel construction pipeline in the U.S. markets in Q1 2025, followed by Atlanta, Nashville, Phoenix, and Austin.