According to the Q2 2025 U.S. Hotel Construction Pipeline Trend Report from Lodging Econometrics (LE), at the close of the quarter, Dallas has the largest hotel construction pipeline with 199 projects and a new record-high 24,497 rooms.
Following Dallas are Atlanta with 165 projects/19,027 rooms, then Nashville with 128 projects/17,025 rooms and Austin with new record-high project and rooms totals of 125 projects/14,598 rooms. Phoenix follows with 123 projects/16,228 rooms. All of these markets show year-over-year (YOY) growth at Q2 with the most substantial being Austin with a 10% YOY increase by projects and a 7% increase by rooms.
At the end of the second quarter, the five U.S. markets with the largest number of projects currently under construction in the total pipeline are Phoenix with 35 projects/5,089 rooms, New York City with 33 projects/6,118 rooms, Dallas with 32 projects/3,804 rooms, Atlanta with 23 projects/2,782 rooms and Nashville with 20 projects and 2,739 rooms.
At the Q2 close, Dallas, with 78 projects/8,603 rooms, has 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 tops the list of markets with the most hotel projects in the early planning stage, at Q2, with 89 projects/12,090 rooms. Atlanta, with 77 projects/8,303 rooms, and Nashville with 56 projects/6,953 rooms follow. Closing out the top five are 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 stand at 1,956 active projects with 259,495 rooms. The markets with the largest combined number of renovations and conversions, at Q2, are 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 quarter of 2025. After the first half of the year, Atlanta leads in new openings with 11 projects/1,191 rooms, followed by Dallas with 10 projects/964 rooms, the New York City market with 9 projects/1,072 rooms, Tampa with 7 projects/901 rooms and Orlando with 6 projects/2,617 rooms.
The LE forecast for the remainder of 2025 includes 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 is forecast to open another 23 new hotels, adding 2,971 rooms by year-end 2025. Dallas follows with 20 new hotels/2,135 rooms, then 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.
Looking ahead to 2026, Phoenix is 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.
LE has also released its forecast for new hotel openings in 2027, which predicts Dallas will lead with 35 new hotels/3,694 rooms, followed by the 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.
