Dallas leads the U.S. hotel construction pipeline with record growth, while the 2027 forecast predicts continued dominance in new hotel openings.
Overview of U.S. Hotel Construction Pipeline
The recent Q2 2025 U.S. Hotel Construction Pipeline Trend Report by Lodging Econometrics (LE) reveals Dallas as the leader in hotel construction projects across the United States. At the close of the second quarter, Dallas boasts 199 projects and a record-breaking 24,497 rooms. Following Dallas are Atlanta, with 165 projects and 19,027 rooms, Nashville, with 128 projects and 17,025 rooms, Austin, with 125 projects and 14,598 rooms, and Phoenix, with 123 projects and 16,228 rooms. Notably, Austin experienced the most significant year-over-year growth, with a 10% increase in projects and a 7% increase in rooms.
Current Construction Projects
As of the end of Q2, Phoenix leads in the number of projects under construction, with 35 projects and 5,089 rooms. New York City follows closely with 33 projects and 6,118 rooms. Dallas ranks third with 32 projects and 3,804 rooms, while Atlanta and Nashville round out the top five with 23 projects (2,782 rooms) and 20 projects (2,739 rooms), respectively.
Upcoming Projects and Early Planning
Dallas also leads in projects scheduled to start within the next 12 months, with 78 projects and 8,603 rooms. Atlanta follows with 65 projects and 7,942 rooms, Austin with 53 projects and 6,009 rooms, Nashville with 52 projects and 7,333 rooms, and the Inland Empire with 51 projects and 5,184 rooms. In the early planning stage, Dallas remains at the forefront with 89 projects and 12,090 rooms, followed by Atlanta with 77 projects and 8,303 rooms, and Nashville with 56 projects and 6,953 rooms. Orlando and Austin each have 54 projects, contributing 13,329 rooms and 6,033 rooms, respectively.
Renovations and Conversions
At the close of Q2, the U.S. had 1,956 active renovation and conversion projects, totaling 259,495 rooms. The top markets for these activities include Washington, D.C., with 34 projects and 4,889 rooms, Atlanta with 30 projects and 3,370 rooms, Charlotte with 29 projects and 3,343 rooms, Orlando with 27 projects and 14,722 rooms, and New York with 27 projects and 8,288 rooms.
New Hotel Openings in 2025
In the first half of 2025, 329 new hotels with 39,628 rooms opened in the U.S. Atlanta leads in new openings with 11 projects and 1,191 rooms, followed by Dallas with 10 projects and 964 rooms. New York City, Tampa, and Orlando also saw significant new openings. The LE forecast anticipates the opening of another 406 hotels with 45,160 rooms by the end of 2025, totaling 735 new hotels and 84,788 rooms. New York City is expected to add 23 new hotels and 2,971 rooms, followed by Dallas with 20 new hotels and 2,135 rooms.
2026 and 2027 Forecasts
Looking ahead to 2026, Phoenix is forecast to lead with 27 new hotels and 3,207 rooms. Dallas is close behind with 26 new hotels and 2,595 rooms, followed by Atlanta, New York City, and Nashville. The newly released 2027 forecast predicts Dallas will lead with 35 new hotels and 3,694 rooms. The Inland Empire, Atlanta, Phoenix, and Austin are also expected to see significant growth in new hotel openings.
