Hotel construction costs for 2025

In the hospitality industry, particularly for hotels, achieving and maintaining a high star rating hinges on clean, fully functioning facilities, a friendly, competent staff and exceptional attention to detail in every aspect of the guest experience.

To achieve a five-star rating, hotels must not only meet but exceed guests' expectations. This includes providing personalized services, luxurious amenities and impeccable customer service. Hotel managers and owners take extra steps to ensure the highest cleanliness standards, including upgrading air filtration systems and installing no-touch technologies and contactless services. Additionally, automation is being implemented to combat labor shortages and improve overall efficiency.

Improvements to anticipate guests’ needs with a more personalized experience and ensure guests’ safety are paramount. Gordian’s RSMeans™ Data can help estimate costs for these types of improvements and enhancements. With localized, square-foot costs on over 100 building models including various hospitality industry facilities, RSMeans Data allows architects, engineers and other preconstruction professionals to quickly and accurately create conceptual estimates for future builds.

This table shows the most recent costs per square foot for 15-story hotels in select cities.

Visit rsmeans.com/bdandc for more information about Gordian’s RSMeans Data.

Please note: Square foot models are used for planning and budgeting and are not meant for detailed estimates.