STR reports Canadian hotel pipeline for June 2011

"Hotel development in the active pipeline remains virtually unchanged at the end of the second quarter (21,353 rooms) versus the first quarter (20,715 rooms) in Canada," said Duane Vinson, VP, client services at STR. "When compared with June 2010, there is a significant increase in rooms in Final Planning. However, the decrease in rooms in the In Construction phase and the earlier Planning phase is resulting in a net decline of only 4.1 percent. The most profound jump we see in final planning is in the Upscale brands (up 1,479 rooms) year-over-year and Upper Midscale (up 2,534 rooms).

"The majority of rooms under construction continues to be in the Upscale segment with 1,731 rooms, or 33.1 percent of all rooms in construction (compared to 34.5 percent at the end of first-quarter 2011), followed closely by Independent or non-affiliated hotels with 1,713 rooms, which makes up 32.7 percent of all rooms under construction rooms (compared to 29.3 percent at the end of first-quarter 2011)," Vinson continued. "Both segments reported minimal change in rooms under construction between the first and second quarters."

Among the Chain Scale segments, two reported increases in rooms in the total active pipeline: the Upper Midscale segment (+23.6 percent with 5,094 rooms) and the Unaffiliated segment (+18.2 percent with 9,501 rooms). Three segments ended the month with a decrease in rooms in the total active pipeline of more than 50 percent: the Luxury segment (-76.1 percent with 202 rooms); the Midscale segment (-74.0 percent with 472 rooms); and the Economy segment (-59.7 percent with 364 rooms).

About STR/McGraw Hill Construction Dodge Pipeline Report: The Pipeline Report is co-produced by McGraw Hill Construction Dodge, and the dedicated pipeline team at STR. Available as an annual subscription or a local Market Supply Report, the Pipeline Report is a comprehensive look at new hotel development and existing supply in the U.S. and Canada.