Pressing ahead

George Sell Uploaded


While the COVID-19 pandemic has seen thousands of hotels across the world closing for business, the construction of future supply is relatively unaffected, with many developers pressing ahead with their plans.

According to STR, there were more than 214,000 rooms under construction in the US at the end of March, in spite of the varying levels of lockdown across the country.

Many major markets in the US saw more than 6,000 rooms under construction over the month, including Las Vegas, Orlando and Los Angeles. New York, though heaviest hit by the coronavirus, had more than 14,000 rooms under construction in March.

STR VP of lodging insights Jan Freitag says: “The number of rooms in construction will likely remain high, just as it did during the pre-recession peak. Because of the coronavirus pandemic, the industry is no longer operating in a record-setting demand environment, so there isn’t the same rush to open hotels and tap into that business.”

And in the the UK, the lockdown hasn't prevented 4C Hotel Group closing a £65 million funding deal for the country's first Canopy hotel, which will open in the City of London as soon as March 2021.

 

LinkedIn

Be in the know.

Subscribe to our newsletter »
Subscribe

Thank you sponsors