The Asia Pacific hotel construction landscape is witnessing remarkable growth, as revealed by the Q2 2023 Hotel Construction Pipeline Trend Report from Lodging Econometrics (LE). The region, excluding China, boasts an all-time high of 1,936 projects with 401,766 rooms in the pipeline at the quarter’s conclusion.
Dominating the pipeline are luxury, upper upscale, and upscale projects, setting new records with 228 projects/46,305 rooms, 348 projects/78,336 rooms, and 426 projects/92,702 rooms respectively.
Among the projects, 944 are under construction, while 292 are set to commence construction in the next year. Moreover, early planning stages see a surge with 700 projects/132,574 rooms.
In the Asia Pacific, India leads the pipeline countries, accounting for 25% of the projects, with 480 projects/57,161 rooms. Vietnam follows with 237 projects/85,168 rooms, trailed by Thailand with 156 projects/39,199 rooms. The forecast points to India, Indonesia, and Japan as the leaders in new hotel openings through 2025.
Prominent franchise companies include Marriott International, Accor, IHG Hotels & Resorts, Wyndham Hotels & Resorts, and Hilton Worldwide.
Hotel projects in the Asia Pacific region, excluding China, opened 172 projects/26,748 rooms in H1 2023, with 227 projects/44,514 rooms projected for H2. The forecast predicts a total of 399 hotels/71,262 rooms to open in 2023, with 392 projects/79,649 rooms in 2024 and 318 projects/63,153 rooms in 2025.