According
to Lodging Econometrics, through the third quarter, 45% of the projects and 47%
of rooms in the total pipeline are in the under-construction stage.
INTERNATIONAL
REPORT — Nearly half of Europe’s construction pipeline is currently under
construction through the third quarter of 2024, according to the latest data
from Lodging Econometrics.
The region’s
total pipeline is 1,645 projects and 244,548 rooms, with 45% of the projects
(738) and 47% of the rooms (114,391) of the pipeline currently under
construction. Meanwhile, 24% of the pipeline is in the projects scheduled
to start in the next 12 months category, with 399 projects and 57,828 rooms.
There are currently 508 projects and 72,329 rooms in the early planning stage.
Through the
third quarter, the upscale segment continues to lead Europe’s pipeline with 339
projects and 52,743 rooms followed by upper midscale at 315 projects and 47,565
rooms (a 9% increase in projects YOY). The upper upscale segment reached record
highs this quarter, with 281 projects (11% increase YOY) and 45,358 rooms (8%
increase YOY). Those three chain scales account for 57% of the projects and 60%
of the rooms in Europe’s pipeline.
European
conversion activities remain strong, with 497 projects (up 33%) and 60,403
rooms (up 21%). Combined, hotel renovations and brand conversions total 637
projects and 81,526 rooms.
The U.K.
leads Europe’s pipeline with 293 projects and 42,071 rooms, with Germany second
with 172 projects and 28,304 rooms. Turkey is third, with record highs of 123
projects and 18,465 rooms; Portugal is fourth, with 114 projects and 14,048
rooms and France is fifth, with 105 projects and 11,025 rooms. These five
countries combined account for 49% of the projects and 47% of the rooms in
Europe’s pipeline.
London is
the leading city with 75 projects and 14,985 rooms, while Istanbul is second
with 51 projects/8,255 rooms. Lisbon, Spain, is third with 36 projects and
4,050 rooms; Dublin, Ireland, is fourth with 25 projects and 4,665 rooms and
Manchester, U.K., is fifth with 23 projects and 4,345 rooms.
In the third
quarter, 83 new hotels and 11,640 rooms opened in Europe, bringing the total
year-to-date openings to 220 new hotels and 29,601 rooms. LE is forecasting 107
new hotels and 13,856 rooms through the rest of the year, bringing the year-end
total for 2024 to 327 new hotels and 43,457 rooms. LE predicts continued growth
in new hotel openings, with 353 new hotels and 51,463 rooms scheduled to open
in 2025 and 426 new hotels and 57,350 rooms expected to open in 2026.