Press & Media
Read recent LE press releases for an inside look at global lodging real estate news, regional and individual market insights, and growth trends for leading Franchises Companies and brands.
ALIS 2017: Development of the Year Award — March 21, 2017Each year Lodging Econometrics partners with the ALIS Conference to present the ALIS Development of the Year Award. This is the hotel industry’s Capstone Awards for development. It honors the top Full Service and Limited/Select Service Development Projects of the year. Please join us as LE’s JP Ford, CHB, ISHC and the ALIS Development of the Year Committee Chair, announces the winners of this year’s prestigious award.
The ALIS Conference www.ALISconference.com is the annual meeting place for hotel executives, investors, lenders, developers, analysts, and consulting communities in the hotel and tourism industry.
Marriott Has the Largest Hotel Construction Pipeline — February 27, 2017Analysts at Lodging Econometrics(LE) report that at year-end 2016, Marriott had the largest pipeline in the country of any franchise company with 1,301 Projects/167,641 Rooms. Since it’s acquisition of Starwood Hotels & Resorts, Marriott has added 10 full-service brands boosting its U.S. portfolio to 25 brands and increasing its Total Pipeline room count by 35%. Their largest brand in the Pipeline is Fairfield Inn which has 297 Projects/28,284 Rooms.
Of the Total Pipeline, Marriott has the most projects of any franchise company Under Construction with 471 Projects/65,924 Rooms, representing over 30% of all projects Under Construction in the U.S. Additionally, they have the most projects Scheduled to Start Construction in the Next 12 Months with 705 Projects/85,902 Rooms. Marriott also has 125 Projects/167,641 Rooms in Early Planning.
In the 4th quarter, Marriott had 86 projects Start Construction and announced 197 New Projects into the Pipeline. Both are the highest of any other franchise company. For New Hotel Openings, both Marriott & Hilton opened 79 new hotels each, also at a high.
Houston Has the Second Largest Hotel Construction Pipeline — February 24, 2017According to Lodging Econometrics (LE), following New York City, Houston has the second largest pipeline in the country with 169 Projects/18,373 Rooms. With its Pipeline continuing to grow, Houston is likely to top its previous peak of 171 total projects reached in 2008.
Of all markets, Houston has the most projects Scheduled to Start Construction in the Next 12 Months with 91 Projects/9,792 Rooms, 54% of its Total Pipeline. Houston also has the most projects in Early Planning with 37 Projects/3,748 Rooms. The remaining 41 Projects/4,833 Rooms are presently Under Construction.
With the economic impact of low oil prices, Iranian oil coming online and a decline in demand from China, drilling for oil in Texas has plummeted. As a result, Houston’s economy has been rocked. Some economic improvement is expected in 2017 as a bottoming is thought to have occurred. Consequently, in the last 2 years, occupancy has declined from 71.7% to a reported 62.3%. ADR fell 3.6% in 2016. RevPar declined both years and registered a whooping 12.4% Year-Over-Year decline in 2016. New supply growth rose 5.7%. Demand growth fell 3.9% while supply growth grew 5.7%. Houston has the largest demand/supply imbalance of all the top 25 markets. With a steady stream of new supply forecasted to come online, operating metrics are expected to continue their fall for the next two years.
New York City Has the Largest Hotel Construction Pipeline — February 23, 2017Analysts at Lodging Econometrics (LE) report that the New York City Hotel Construction Pipeline is at 192 Projects/30,541 Rooms, and continues to be the largest pipeline in the U.S. There are 101 Projects/17,711 Rooms Under Construction, the highest in the country, 63 Projects/9,019 Rooms Scheduled to Start Construction in the Next 12 Months while Early Planning stands at 28 Projects/3,811 Rooms. New York City has had the largest pipeline of any market in the country for 21 consecutive quarters.
Pipeline growth trends are likely to remain strong as NYC has consistently been in the top 3 markets for New Projects Announcements into the Pipeline and annualized Construction Starts for the last decade.
Top Markets for New Hotel Openings in 2017 — February 22, 2017According to a recent Construction Pipeline Trend Report from Lodging Econometrics (LE), the markets forecast to have the largest number of New Hotel Openings in 2017 are: New York with 64 Hotels/8,384 Rooms, Dallas with 43 Hotels/4,754 Rooms, Houston with 33 Hotels/3,312 Rooms. Austin is scheduled to open 3,380 Rooms and Denver, 2,740, both with 22 Hotels.
In 2017, 1,111 Hotels/120,372 Rooms are forecast to open in the U.S., up from 842 Hotels/98,990 Rooms in 2016. 373 Hotels/45,384 Rooms are scheduled to open in the Top 25 Markets in 2017, representing 32% of the hotels and 41% of the rooms forecasted to open throughout the country.
According to industry-wide operating metrics, in 2016 all Top 25 markets, with the exception of Houston, had demand growth in excess of supply growth. Additionally, Houston was only 1 of 2 markets showing a Year-Over-Year decrease in demand, and most importantly, the only market to report supply growth in excess of demand. A 3.9% decline in demand, an occupancy decrease of 9.1%, a falloff of 3.6% in ADR and a 5.7% increase in new supply combine for a dramatic drop of 12.4% in RevPar. Houston’s operating metrics are expected to continue to trend downwards over for the next few years.
Top Markets with the Largest Construction Pipelines — February 21, 2017Lodging Econometrics (LE) reports at that at year-end 2016 the five markets with the largest hotel construction pipelines by project count are: New York with 192 Projects/30,541 Rooms; Houston with 169 Projects/18,373 Rooms; Dallas with 140 Projects/17,291 Rooms; Nashville with 121 Projects/14,873 Rooms; and Los Angeles with 111 Projects/18,723 Rooms.
Since the fourth quarter of 2011, New York has continuously had the highest project count of any market in the Pipeline while Houston has had the second largest for the last thirteen quarters.
Future supply growth should be strong in these five markets for the next few years, particularly New York, Houston and Dallas which have been consistently amongst the Top 5 Markets with the largest number of New Project Announcements into the Pipeline.
New Supply Trends— February 17, 2017Lodging Econometrics (LE) reports that in 2016, 842 Hotels/98,990 Rooms opened in the United States, the most since 2009 and up from the 736 Hotels/82,094 Rooms reported in 2015. According to industry wide operating metrics, supply growth was a reported 1.6% in 2016, slightly below demand growth of 1.7%, meaning that demand has exceeded supply growth for the 7th consecutive year.
LE forecasts that New Hotel Openings will jump to 1,111 Hotels/120,372 Rooms in 2017. That should equate to a 2% supply increase in 2017. Unless there is some reversal in declining demand trends, aggregate supply growth in 2017 will exceed demand for the 1st time since 2010.
Moderate Growth Continues in the Hotel Construction Pipeline — February 16, 2017According to the year-end United States Construction Pipeline Trend Report from Lodging Econometrics (LE), the Total Construction Pipeline ended 2016 with 4,960 Projects/598,688 Rooms, up 12% by projects and 10% by rooms Year-Over-Year (YOY). Q4 2016 is the 19th consecutive quarter of pipeline growth, since the cyclical bottom of 2,720 Projects/331,129 Rooms reported in Q1 2012.
At year-end, there were 1,520 Projects/196,409 Rooms Under Construction, up by 208 projects YOY or 16%. Projects Scheduled to Start in the Next 12 Months, at 2,392 Projects/268,843 Rooms, were up 466 projects, 24%. Projects in Early Planning at 1,048 Projects/133,436 Rooms were down by 127 projects or 11% as some projects are rapidly migrating up the Pipeline towards Construction in anticipation of future interest rate increases. Construction Starts in 2016 at 1,166 Projects/142,563 Rooms were at an 8-year high.
New Project Announcements into the Pipeline during 2015-16 were at the highest levels since 2008, while Conversions were at a 10-year high. Reflecting a modestly improving economy, overall pipeline growth has been moderately up-trending since early 2012. Economic indicators suggest that the Pipeline may continue to grow for at least another two years.
LE Launches Two Cutting-Edge Technology Programs for its Clients — January 20, 2017Lodging Econometrics, the lodging industry’s global leader for market intelligence, today announced that it has launched two new cutting-edge technological advances that will be incorporated into its client programs.
“First, LE client programs will be available for viewing on all mobile devices,” said JP Ford, Senior Vice President of Sales. “This permits clients to access every new business opportunity that is available to them with complete decision-maker contact information, anywhere in the world at anytime.”
Ford continued to say, “Secondly, after considerable work and diligent technical ingenuity, LE has developed a state-of-the-art mapping program in support of its Construction Pipeline and Census of Open and Operating Hotels Database for every country in the world. What this means for LE clients is that any sort of Construction Pipeline and/or Census Database Records can be immediately displayed on a detailed map for any country, market or sales territory by brand, chain scale, developer or ownership and management group. It’s a first in the industry and ideal for presenting and visualizing new business opportunities available throughout the world for a particular client.”
These new technological advances are extremely fast and intuitive tools and should help sales managers and their teams greatly as they work to accelerate their growth in this up-trending market.
For 15 years, LE has pioneered the delivery of Hotel Real Estate Market Intelligence for strategic planning purposes and for the identification of potential growth opportunities for franchise development teams, ownership and management companies and for vendors to the lodging industry.
“These two technological advances should benefit our global clients enormously,” said Ford. The world has moved towards the delivery of information on mobile platforms and to the visual display of market research. LE is excited to roll out these advances to the global lodging industry as we continue to work to identify and present new business opportunities to our clients that will help accelerate their growth.
Julie F. Bailey Named to Board of Directors — January 18, 2017Patrick H. Ford, President is pleased to announce the appointment of Julie F. Bailey to the Board of Directors of Lodging Econometrics and its sister company New England Hotel Realty.
“The depth of knowledge and range of professional experience in both the business and non-profit sectors that Julie brings to this position makes her well qualified to play an integral role in the Board’s work,” said Ford. “She’s an accomplished leader. We are confident she will add great value to our Board of Directors. Our companies will greatly benefit from her insight, judgement, and counsel in the continued pursuit of our mission.”
Ms. Bailey currently serves as a Human Resource Specialist for Exeter Health Resources and its three operating affiliates. She is responsible for scheduling, screening and the recruitment of nurses and other clinical staff throughout the organization. Additionally, she collaborates with other human resource specialists to develop strategic programs designed to meet the future staffing needs of the rapidly growing Health Care organization.
In addition to her 30-year career in health care, Ms. Bailey has spent many years in the non-profit sector where she serves as Vice President of the Board of Directors for New Generation, a homeless shelter in Greenland, NH, that empowers pregnant and parenting woman and their infants.
Ms. Bailey is also a member of the Board of Directors for the Roman Catholic Bishop’s Charitable Assistance Fund where she sits on both the Allocation Committee that makes grants to needy non-profits throughout the state and the Nomination Committee that selects the candidates for the Bishop’s prestigious annual Vita et Caritas award honoring “New Hampshire’s Volunteer of the Year.”
She is also a member of the Great Bay Community College Nursing Advisory Board and previously was a member of the Saint Thomas Aquinas Alumni Leadership Council.
Ms. Bailey holds a Master of Science Degree in Management with a concentration in HealthCare Administration from New England College and graduated from Saint Joseph’s College with a Bachelor of Science in Nursing. She has three grown children and resides with her husband Timothy in Hampton, NH.
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LE’s Lodging Real Estate and Market Intelligence Experts are happy to offer insights and support to journalists and media specialists reporting on the lodging real estate, lender and vendor industries. For media inquiries or specific information requests, please contact:
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