China’s hotel construction pipeline has reached significant milestones in the third quarter of 2025, according to the latest report by Lodging Econometrics (LE). The data reveals a robust expansion in the number of projects and rooms under development, with notable growth in both construction starts and new project announcements.
Current Pipeline Overview
As of the end of Q3 2025, China’s hotel construction pipeline comprises 3,695 projects, totaling 656,873 rooms. This includes 2,728 projects with 478,859 rooms currently under construction. Additionally, 332 projects, accounting for 56,141 rooms, are scheduled to begin construction within the next 12 months. The early planning stage encompasses 635 projects with a total of 121,873 rooms.
Year-Over-Year Growth
The third quarter saw a notable increase in construction starts, with a 10% rise in projects and a 5% increase in rooms compared to the same quarter in the previous year. The quarter concluded with 265 projects and 41,189 rooms commencing construction. New project announcements also contributed to this growth, with 252 projects and 34,721 rooms being introduced in Q3.
Chain Scale Developments
The upper midscale chain scale achieved a record-high project count in Q3, ending the quarter with 1,229 projects and 185,208 rooms, marking a 1% year-over-year increase in projects. The upscale chain scale also experienced growth, with 1,049 projects and 219,728 rooms, reflecting a 2% increase in projects year-over-year. Combined, these two chain scales represent 62% of both projects and rooms in China’s hotel construction pipeline.
Brand Conversions and Renovations
Brand conversions and hotel renovations in China reached record-high levels in Q3, with a 21% year-over-year increase in projects and a 9% increase in rooms. This resulted in 225 hotels with 41,370 rooms undergoing conversions or renovations. Brand conversions alone set new records, with 208 projects and 36,038 rooms.
Leading Cities in Hotel Development
Several Chinese cities are leading the hotel construction boom. Chengdu tops the list with 137 projects and 24,412 rooms, followed by Shanghai with 128 projects and 22,151 rooms. Guangzhou, Hangzhou, and Xi’an also feature prominently, with numerous projects and rooms under development.
Forecast for New Hotel Openings
Through the third quarter, China has seen the opening of 743 new hotels, totaling 106,788 rooms. The LE forecast anticipates an additional 316 hotels with 45,900 rooms to open in the fourth quarter, bringing the total expected new hotel openings to 1,059 hotels with 152,688 rooms by the end of 2025.
Looking ahead, LE analysts project 978 new hotels with 143,603 rooms to open by the end of 2026. In 2027, the forecast predicts 739 new hotel openings, with a total of 142,076 rooms.
Conclusion
China’s hotel construction pipeline is experiencing robust growth, with significant increases in projects and rooms across various stages of development. The country’s major cities continue to drive this expansion, supported by record levels of brand conversions and renovations. The outlook for new hotel openings remains strong, with substantial growth expected through 2027.
