STR Reports US Hotel Pipeline for May 2013

According to the May 2013 STR Pipeline Report, the total active U.S. hotel development pipeline comprises 2,687 projects totaling 324,130 rooms.

This represents an 11.6% increase in the number of rooms in the total active pipeline compared with May 2012, and a 22.4% increase in rooms under construction.

The total active pipeline data includes projects in the In Construction, Final Planning and Planning stages but does not include projects in the Pre-Planning stage.

“The U.S. development pipeline continued to steadily increase in May,” said Bobby Bowers, senior VP of operations at STR. “Rooms under construction increased about 23% over May 2012. STR is expecting full-year 2013 net room supply growth of around 1%, about half the long-term annual growth rate.”

Among the nine U.S. regions, the Mountain region reported the largest increase in rooms in the total active pipeline, rising 41.2% over last year to 36,849 rooms.

Three other regions reported increases of more than 20% in rooms in the total active pipeline: the New England region (+36.7% with 11,476 rooms); the West North Central region (+27.4% with 16,786 rooms); and the Pacific region (+24.9% with 38,900 rooms).

The East South Central region (-1.2% with 18,270 rooms) reported the only decrease in rooms in the total active pipeline.

Three regions reported increases of more than 30% in rooms under construction: the Pacific region (+56.2% with 7,324 rooms); the East South Central region (+40.3% with 6,435); and the Mountain region (+35.3% with 4,382 rooms).

None of the regions reported decreases in rooms under construction.