According to the recent Q2 2025 U.S. Hotel Construction Pipeline Trend Report from Lodging Econometrics, at the close of the quarter, the five markets with the largest hotel construction pipelines were led by Dallas with 199 projects and a new record-high 24,497 rooms. Atlanta followed with 165 projects/19,027 rooms, then Nashville with 128 projects/17,025 rooms, and Austin with record-high project and rooms totals of 125 projects/14,598 rooms. Phoenix followed with 123 projects/16,228 rooms. All of these markets showed year-over-year (YOY) growth at Q2, with the most substantial being Austin with a 10 percent YOY increase by projects and a 7 percent increase by rooms.
At the end of the second quarter, the five U.S. markets with the greatest number of projects currently under construction in the total pipeline were led by Phoenix with 35 projects/5,089 rooms. Following Phoenix were New York City with 33 projects/6,118 rooms, Dallas with 32 projects/3,804 rooms, and Atlanta with 23 projects/2,782 rooms. Nashville rounded out the top five with 20 projects and 2,739 rooms.
At the Q2 close, Dallas, with 78 projects/8,603 rooms, had the most projects scheduled to start within the next 12 months, followed by Atlanta with 65 projects/7,942 rooms, Austin with 53 projects/6,009 rooms, Nashville with 52 projects/7,333 rooms, and Inland Empire with 51 projects/5,184 rooms.
Dallas again topped the list of markets with the most hotel projects in the early planning stage, at the end of Q2, with 89 projects/12,090 rooms. Atlanta followed Dallas, with 77 projects/8,303 rooms, and Nashville had 56 projects/6,953 rooms. Closing out the top five were Orlando and Austin, each with 54 projects and accounting for 13,329 rooms and 6,033 rooms, respectively.
At Q2 close, combined U.S. renovation and conversion projects stood at 1,956 active projects with 259,495 rooms. The markets with the largest combined number of renovations and conversions, at Q2, were Washington, DC, with 34 projects/4,889 rooms, Atlanta with 30 projects/3,370 rooms, Charlotte with 29 projects/3,343 rooms, Orlando with 27 projects/14,722 rooms, and New York with 27 projects/8,288 rooms.
According to LE analysts, 329 new hotels with 39,628 rooms opened in the U.S. during the first and second quarters of 2025. After the first half of the year, Atlanta led in new openings with 11 projects/1,191 rooms, followed by Dallas with 10 projects/964 rooms, the New York City market with nine projects/1,072 rooms, Tampa with seven projects/901 rooms, and Orlando with six projects/2,617 rooms.
The LE forecast for the remainder of 2025 included the opening of another 406 hotels with 45,160 rooms, totaling 735 new hotels with 84,788 rooms by year-end. Of the top 50 markets in the U.S., the New York City market was forecast to open another 23 new hotels, adding 2,971 rooms by year-end 2025. The New York City market was followed by Dallas with 20 new hotels/2,135 rooms, Atlanta with 19 new hotels/2,245 rooms, Phoenix with 12 new hotels/2,144 rooms, and Nashville with 12 new hotels/1,527 rooms by year-end 2025.
Looking ahead to 2026, Phoenix was forecast to lead with the largest number of new hotel openings at 27 new hotels/3,207 rooms, followed by Dallas with 26 new hotels/2,595 rooms, Atlanta with 21 new hotels/2,154 rooms, the New York City market with 14 new hotels/2,452 rooms, and Nashville with 14 new hotels/1,735 rooms forecast to open by year-end.
Releasing for the first time this quarter, the LE Forecast for New Hotel Openings in 2027 forecast Dallas to lead with the largest number of new hotel openings at 35 new hotels/3,694 rooms, followed by Inland Empire with 28 new hotels/2,923 rooms, Atlanta with 24 new hotels/2,396 rooms, Phoenix with 21 new hotels/2,223 rooms, and Austin with 17 new hotels/1,984 rooms forecast to open in 2027.
