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Rendering of the Dual-Branded AC Hotel and Moxy Hotel Breaks in Dallas – Image Credit Peachtree Group
According to a report by Lodging Econometrics, Dallas had the largest hotel construction pipeline in the U.S. markets in Q1 2025, followed by Atlanta, Nashville, Phoenix, and Austin.
Lodging Econometrics (LE) recently published the U.S. Hotel Construction Pipeline Trend Report, which highlights the country’s major markets for hotel development at the close of the first quarter of 2025.
Dallas tops the list with 203 projects and 24,496 rooms, establishing a new record for room total, reflecting a 9% project and 11% room growth year-over-year (YOY). Atlanta, Nashville, Phoenix, and Austin follow Dallas, each reaching new all-time-high project and room totals.
The report also disclosed the markets with the highest number of projects currently under construction. New York leads this count with 39 projects and 7,064 rooms, followed by Phoenix, Dallas, Atlanta, and the Inland Empire.
In terms of projects scheduled to start within the next 12 months, Dallas again leads the way with 80 projects and 8,890 rooms. Atlanta, Nashville, Austin, and the Inland Empire trail behind.
The report also noted that Dallas has the most projects in early planning stages, followed by Atlanta, Austin, Nashville, and the Inland Empire.
The report also shed light on some noteworthy markets such as Raleigh-Durham and Saint Louis, both of which have reached new all-time-high project and room totals.
Despite the ongoing pandemic, renovation and brand conversion activities are thriving in the U.S. Washington DC leads the count of combined projects, followed by Charlotte, Atlanta, Houston, and Chicago.
In Q1 2025, 138 new projects for 19,800 rooms were announced within the top 50 U.S. markets. Dallas, Austin, and New York led the new project announcements.
The report noted that 161 new hotels/18,767 rooms opened in the U.S. in the first quarter. Atlanta, Dallas, and New York were the markets with the most hotel openings. LE predicts an additional 579 new hotels/64,781 rooms to open across the U.S. from Q2-Q4 2025.
In 2026, LE expects 848 new hotels/92,892 rooms to open in the U.S. by year-end. Dallas, Atlanta, Phoenix, and the Inland Empire will lead in new hotel openings.
