U.S. Hotel Construction Skyrockets, Dallas Leads with Over 200 Projects :: Hospitality Trends

According to the latest United States Construction Pipeline Trend Report from Lodging Econometrics (LE), Dallas tops the list of U.S. cities with the most hotel construction projects. The report shows Dallas has 204 projects totaling 23,669 rooms. The next four cities with the highest number of projects are Atlanta (168 projects/19,431 rooms), Nashville (130 projects/17,029 rooms), Phoenix (130 projects/16,824 rooms), and the Inland Empire (122 projects/12,234 rooms).

In terms of projects currently under construction, New York City leads with 36 projects (5,928 rooms). Phoenix, Dallas, Atlanta, and the Inland Empire follow.

Dallas also leads in projects planned to start within the next 12 months with 78 projects (8,856 rooms), followed by Atlanta, Austin, Nashville, and Phoenix. At the early planning stage, Dallas again takes the lead with 95 projects (11,346 rooms), with Atlanta, Nashville, Los Angeles, and Austin completing the top five.

The report indicates significant future growth in the U.S. hotel sector, particularly in the South and Southwest regions. It also highlights high levels of hotel renovation and conversion activity in the U.S., with 1,997 projects involving 255,816 rooms as of Q4 2024. Washington, DC, leads in this category with 34 projects (5,204 rooms), followed by Chicago, Charlotte, Houston, and Atlanta.

In the fourth quarter, 459 new project announcements were made nationwide, 46% of which were in the top 50 U.S. markets. Dallas led with 20 new projects (2,061 rooms), followed by Phoenix, Raleigh-Durham, Las Vegas, and Nashville.

The report also notes 583 new hotel openings across the U.S. in Q4 2024, accounting for 67,995 rooms. New York led with 16 new hotels (1,824 rooms), followed by Dallas, Nashville, Orlando, and Phoenix.