Hotel pipeline down for most of the world at the end of 2023
With substantial volume in the planning phases, the Americas was the only world region to show an increase in overall hotel pipeline activity, according to year-end data from CoStar. CoStar is a leading provider of online real estate marketplaces, information and analytics in the property markets.
Construction activity was down in every world region except Asia Pacific.
December 2023 (% change in comparison with December 2022):
Europe
- In construction: 171,354 (-9.7%)
- Final Planning: 111,255 (-20.9%)
- Planning: 178,580 (+16.3%)
- Total Under Contract: 461,189 (-4.7%)
Among countries in the region, Germany (30,046 rooms) led in construction activity followed by the U.K. (28,503 rooms).
Asia Pacific
- In construction: 486,410 (+2.0%)
- Final Planning: 111,462 (+2.3%)
- Planning: 290,699 (-4.8%)
- Total Under Contract: 888,571 (-0.3%)
China leads the Asia Pacific region in total rooms in construction (309,024), followed by Vietnam (36,852).
Middle East & Africa
- In construction: 112,128 (-8.6%)
- Final Planning: 36,912 (-10.2%)
- Planning: 80,294 (+7.3%)
- Total Under Contract: 229,334 (-3.9%)
Most of the region’s pipeline activity is focused in the Middle East. Saudi Arabia (42,282) and the United Arab Emirates (18,998) show the most rooms in construction.
Americas
- In construction: 200,615 (-3.1%)
- Final Planning: 289,394 (+18.1%)
- Planning: 370,033 (+30.0%)
- Total Under Contract: 860,042 (+16.7%)
The U.S. holds the majority of rooms in construction in the region. After the U.S., Mexico (12,194), Canada (7,215) and Brazil (5,111) show the highest number of rooms in construction.For more information about the company and its products and services, please visit www.costargroup.com.
About STR
STR provides premium data benchmarking, analytics and marketplace insights for the global hospitality industry. Founded in 1985, STR maintains a presence in 15 countries with a North American headquarters in Hendersonville, Tennessee, an international headquarters in London, and an Asia Pacific headquarters in Singapore. STR was acquired in October 2019 by CoStar Group, Inc. (NASDAQ: CSGP), a leading provider of online real estate marketplaces, information and analytics in the commercial and residential property markets. For more information, please visit str.com and costargroup.com.