In the most recent Lodging Econometrics (LE) Construction Pipeline Trend report on Los Angeles, LE states that Los Angeles has a total of 168 projects/28,501 rooms in the construction pipeline, the largest pipeline of any market in the U.S. Of this total, hotels presently under construction are at 46 projects/7,064 rooms, projects scheduled to start construction in the next 12 months are at 56 projects/9,199 rooms, and those in early planning are at 66 projects/ 12,238 rooms. If all of the projects in the pipeline come to fruition, this will increase the city’s guest room supply by 27.1%.
The three market tracts with the largest hotel construction pipelines are: Los Angeles Central Business District with 47 projects/11,490 rooms; Los Angeles East with 32 projects/4,418 rooms; and Los Angeles North with 29 projects/3,037 rooms. These three important market tracts combined account for 67% of the rooms in Los Angeles’ total construction pipeline.
The market tracts with the most projects presently under construction are Los Angeles North with 12 projects/1,153 rooms; Los Angeles Central Business District with 10 projects/2,208 rooms; and Los Angeles East with 8 projects/1,333 rooms.
LE’s forecast for new hotel openings predicts that in 2020, Los Angeles will have a growth rate of 2.5% with 19 new hotels/2,589 rooms opening. In 2021, Los Angeles is forecast to jump to a 4.4% growth rate with 33 new hotels/4,784 rooms expected to open.
Related Stories
Contractors | Sep 19, 2017
Commercial Construction Index finds high optimism in U.S. commercial construction industry
Hurricane recovery efforts expected to heighten concerns about labor scarcities in the south, where two-thirds of contractors already face worker shortages.
Multifamily Housing | Sep 15, 2017
Hurricane Harvey damaged fewer apartments in greater Houston than estimated
As of Sept. 14, 166 properties reported damage to 8,956 units, about 1.4% of the total supply of apartments, according to ApartmentData.com.
Hotel Facilities | Sep 6, 2017
Marriott has the largest construction pipeline of any franchise company in the U.S.
Marriott has the most rooms currently under construction with 482 Projects/67,434 Rooms.
Market Data | Sep 5, 2017
Nonresidential construction declines again, public and private sector down in July
Weakness in spending was widespread.
Market Data | Aug 29, 2017
Hidden opportunities emerge from construction industry challenges
JLL’s latest construction report shows stability ahead with tech and innovation leading the way.
Market Data | Aug 28, 2017
U.S. hotel construction pipeline is up 7% year-over-year
For the economy, the rate of growth may be low but it’s running on all cylinders.
Market Data | Aug 23, 2017
Architecture Billings Index growth moderates
“The July figures show the continuation of healthy trends in the construction sector of our economy,” said AIA Chief Economist, Kermit Baker.
Architects | Aug 21, 2017
AIA: Architectural salaries exceed gains in the broader economy
AIA’s latest compensation report finds average compensation for staff positions up 2.8% from early 2015.
Market Data | Aug 20, 2017
Some suburban office markets are holding their own against corporate exodus to cities
An analysis of mortgage-backed loans suggests that demand remains relatively steady.
Market Data | Aug 17, 2017
Marcum Commercial Construction Index reports second quarter spending increase in commercial and office construction
Spending in all 12 of the remaining nonresidential construction subsectors retreated on both an annualized and monthly basis.
