In the most recent Lodging Econometrics (LE) Market Trend Report, the Los Angeles market has a total of 135 projects/22,586 rooms in the construction pipeline, the second-largest market pipeline in the U.S. behind New York City, which has 146 rooms/25,232 rooms. In Los Angeles, 34 projects/5,771 rooms are currently under construction, projects scheduled to start construction in the next 12 months are at 42 projects/6,359 rooms, and those in early planning are at 59 projects/10,456 rooms.

Los Angeles should continue its fast-paced growth. For the first half of the year, it ranked fifth of all markets for new hotel project announcements into the pipeline, with 8 projects/998 rooms, slightly behind Austin, which announced 9 new projects.

Of the ten market tracts in Los Angeles, the three with the largest hotel construction pipelines are the Los Angeles Central Business District (CBD) with 39 projects/9,255 rooms; the Los Angeles East tract with 27 projects/3,687 rooms; and the Hollywood-Beverly Hills tract with 21 projects/3,306 rooms. These three market tracts combined account for 64% of the Los Angeles market’s total construction pipeline.

The top three market tracts with the highest count of projects presently under construction are: the Los Angeles CBD with 9 projects/13,997 rooms; the Los Angeles North tract with 8 projects/926 rooms; and the Hollywood-Beverly Hills tract with 5 projects/820 rooms.

LE’s forecast for new hotel openings predicts the Los Angeles market will rank sixth in the nation for new hotel openings in 2021 with 19 projects/3,208 rooms, a growth rate of 3.1%. In 2022, Los Angeles will rank third with a growth rate of 3.7% and a forecast for new hotel openings of 26 projects/4,004 rooms.

There has been a total of 42 hotels sold or transferred during the last four quarters in Los Angeles. Most of those taking place in the Los Angeles North Market Tract.
 

About Lodging Econometrics (LE)

For over 25 years, Lodging Econometrics (LE) has been the industry-leading provider of global hotel intelligence and decision-maker contact information. LE custom-builds business development database programs for hotel franchise companies looking to accelerate their brand growth, hotel ownership and management companies seeking to expand their real estate portfolios, and lodging industry vendors wanting to increase their sales. To learn more about our business development programs contact us: +1 603.431.8740, ext 0025 or [email protected].

Hannah Paoletti
Media Relations Manager
+1 603 427 9556
Lodging Econometrics