Latin American pipeline surges through 2025

INTERNATIONAL REPORT — The hotel construction pipeline in Latin America experienced double-digit project growth through the end of 2025, according to the latest data from Lodging Econometrics.

Through the end of Q4, the region's total construction pipeline reached 774 projects and 117,260 rooms, up 13% by projects and 7% by rooms year-over-year. Projects under construction stood at 309 projects and 51,676 rooms, up 14% by projects and 7% by rooms YOY. Projects scheduled to start construction in the next 12 months reached 207 projects and 30,487 rooms, an increase of 16% by projects and 5% by rooms YOY. Projects in early planning stages stand at 258 projects and 35,097 rooms, up 9% by projects and 7% by rooms YOY. Forty hotels and 5,746 rooms began construction in the fourth quarter, up 25% YOY.

Luxury projects stood at 140 projects and 25,812 rooms, up 4% by projects YOY, while upscale projects are at 139 projects and 20,429 rooms, up 3% by rooms YOY. The midscale segment demonstrated substantial growth with 144 projects and 17,155 rooms, up 21% by projects and 25% by rooms YOY. Additionally, the upper upscale chain scale reached record-high numbers in Q4, with 134 projects and 22,628 rooms.

Mexico leads Latin America's hotel construction pipeline with 257 projects and 38,669 rooms, up 4% by projects and 1% by rooms YOY. Brazil is second with 133 projects and 17,719 rooms, showing strong YOY increases of 25% in projects and 20% in rooms. The Dominican Republic stood at 84 projects and 18,061 rooms, up 27% by projects and 7% by rooms YOY. These top three countries account for 61% of the projects and 63% of the rooms in the region's total pipeline.

Cities with the largest pipelines include Mexico City, which reached a record-high 30 projects and 3,367 rooms, up 25% by projects and 15% by rooms YOY. Lima, Peru, is second with 16 projects and 2,206 rooms, up 14% by projects and 1% by rooms YOY, while Georgetown, Guyana, had 16 projects and 2,142 rooms, up 33% by projects and 29% by rooms YOY.

Through the end of 2025, 71 new hotels and 12,160 rooms opened in Latin America. Looking ahead, LE analysts forecast 125 new hotels and 20,467 rooms to open in 2026, followed by 136 new hotels and 17,783 rooms to open in 2027.