In the second quarter of 2021, analysts at Lodging Econometrics (LE) report that the top franchise companies with the largest construction pipelines are: Marriott International with 1,301 projects/170,847 rooms, Hilton Worldwide with 1,216 projects/139,172 rooms, and InterContinental Hotels Group (IHG) with 777 projects/78,929 rooms. Development projects with these three franchise companies comprise 69% of all projects in the total construction pipeline.
The largest brands for each of these companies are Marriott’s Fairfield Inn with 257 projects/25,051 rooms, Hilton’s Home2 Suites by Hilton, with 379 projects/39,584 rooms and IHG’s Holiday Inn Express with 303 projects/29,055 rooms. These three brands make up 20% of the total construction pipeline rooms in the U.S.
Other high-volume brands in the pipeline for each of these franchises are Marriott’s TownePlace Suites with 198 projects/19,422 rooms and Residence Inn with 189 projects/23,493 rooms; Hilton’s Hampton by Hilton with 269 projects/28,071 rooms and Tru by Hilton with 235 projects/22,521 rooms; and IHG’s Avid Hotel with 157 projects/13,842 rooms and Staybridge Suites with 122 projects/12,607 rooms.
In the second quarter of 2021, LE recorded 583 conversion projects/63,807 rooms. Of these conversion totals, Best Western leads with 116 conversion projects/10,289 rooms, accounting for 20% of the conversion pipeline by projects. Following Best Western is Choice Hotels, Marriott International, and Hilton Worldwide. Best Western and these three franchise companies combined account for 61% of all the rooms in the conversion pipeline across the United States.
472 new hotels with 59,034 rooms opened across the United States during the first half of 2021. Marriott, Hilton, and IHG collectively opened 74% of the hotels. Marriott opened 152 hotels with 20,416 rooms, Hilton opened 125 hotels/16,970 rooms, and IHG opened 72 hotels/7,249 rooms.
Related Stories
Market Data | Nov 5, 2019
Construction and real estate industry deals in September 2019 total $21.7bn globally
In terms of number of deals, the sector saw a drop of 4.4% over the last 12-month average.
Market Data | Nov 4, 2019
Nonresidential construction spending rebounds slightly in September
Private nonresidential spending fell 0.3% on a monthly basis and is down 5.7% compared to the same time last year.
Market Data | Nov 1, 2019
GDP growth expands despite reduction in nonresident investment
The annual rate for nonresidential fixed investment in structures declined 15.3% in the third quarter.
Market Data | Oct 24, 2019
Architecture Billings Index downturn moderates as challenging conditions continue
The Architecture Billings Index (ABI) score in September is 49.7.
Market Data | Oct 23, 2019
ABC’s Construction Backlog Indicator rebounds in August
The primary issue for most contractors is not a lack of demand, but an ongoing and worsening shortage of skilled workers available to meet contractual requirements.
Multifamily Housing | Oct 16, 2019
A new study wonders how many retiring adults will be able to afford housing
Harvard’s Joint Center for Housing Studies focuses on growing income disparities among people 50 or older.
Market Data | Oct 9, 2019
Two ULI reports foresee a solid real estate market through 2021
Market watchers, though, caution about a “surfeit” of investment creating a bubble.
Market Data | Oct 4, 2019
Global construction output growth will decline to 2.7% in 2019
It will be the slowest pace of growth in a decade, according to GlobalData.
Market Data | Oct 2, 2019
Spending on nonresidential construction takes a step back in August
Office, healthcare, and public safety are among the fastest-growing sectors, according to the U.S. Census Bureau's latest report.
Market Data | Sep 27, 2019
The global hotel construction pipeline ascends to new record highs
With the exception of Latin America, all regions of the globe either continued to set record high pipeline counts or have already settled into topping-out formations amidst concerns of a worldwide economic slowdown.
