ASIA Travel Tips.com

 

Hotel Project Abandonment Soars in U.S.

Search ASIA Travel Tips .com Latest Travel News Send to Friend Wednesday, 17 December 2008

The number of hotel guestrooms in the construction pipeline in the U.S. that have been abandoned increased 75% in November 2008 over November 2007, according to the latest data from the STR/TWR/Dodge Construction Pipeline Report.

The Total Active Pipeline for the U.S. through November includes 631,680 guestrooms-including 191,807 that are in the In-Construction phase. The Total Active Pipeline figure is 6.7% higher than it was in November 2007, while the number of rooms in the In-Construction phase is 6.8% lower than it was in November 2007.

November 2008 figures released last week show 93,219 guestrooms have been abandoned in various stages of development-from Pre-Planning to In-Construction. That figure is 8,729 more guestrooms than in October 2008 and 39,887 more guestrooms than were abandoned as of November 2007.

"Given the current state of the economy and the non-existence of new-construction lending, these numbers aren't surprising," said Jan Freitag, STR's Vice President of Global Development. "We believe that we will continue to see this high level of abandonment through at least the first half of 2009. Until new funding for new and existing projects is made available by lenders, there is little reason to believe that the rate of abandonment will slow."

The November report shows that the total U.S. supply of 4,677,165 guestrooms through November is 3.2% higher than it was at the end of November 2007. Five of the nine U.S. regions reported year-over-year decreases in the number of guestrooms in the In-Construction stage: New England (-47.2%); West North Central (-27.3%); Pacific (-26.5%); Mountain (-23.7%); and East North Central (-12.7%).

The West South Central region, which consists of Arkansas, Louisiana, Oklahoma and Texas, reported a 17.7% year-over-year increase of rooms In Construction. Other regions: Middle Atlantic (+12.2%); South Atlantic (+3.1%); and East South Central (0%).

"The number of rooms In-Construction continues to decline significantly in many regions, with very notable exceptions in the Middle Atlantic and West South Central," said Duane Vinson, STR's Vice President, Content Management. "With increased difficulty in securing financing and many brands cautious about their 09 debt ratio projections, you should expect more of the same in the coming quarters."

Areas in the Great Plains and west of the Rockies are seeing a year-over-year drop in the number of rooms in the Active Pipeline; however, in most regions the projects in Final Planning and Planning continue to be up. In some regions, such as the Middle Atlantic (+17.7%), East South Central (+22.9%) and West South Central (+49.4%), projects continue to push forward.

See other recent news regarding: Airlines, Aviation, Flights, HotelsPromotions, New Hotels, Pipeline, STR

Subscribe to our Latest Travel News Daily Email Free of Charge by simply entering your email address to the right. You can also stay updated with our RSS Feed Free Travel News RSS Feed and even add the travel news to your website. Have questions? Please read our travel news FAQ.
     
Exclusive HD video interview with Mr. Fumihiro Sakakibara, General Manager - Japan, Macao Government Tourism Office. Aviation industry update from the Group CEO of AirAsia, Mr. Tony Fernandes, and Gary Chapman, Emirates' President Group Services and dnata. Exclusive HD video interview with Mr. John R. Rolfs, General Manager of The Ritz-Carlton, Tokyo and Vice President Japan & Korea. In this interview, filmed in a luxurious suite at The Ritz-Carlton, Tokyo on Sunday, 24 September 2017, we ask Mr. Rolfs to tell us more about the property.
Macao Tourism Update Aviation: AirAsia and Emirates The Ritz-Carlton, Tokyo
What exactly is going to happen to The Dusit Thani Bangkok hotel, when will it close, what about the staff, when will the new Dusit Thani Bangkok open and what will it be like? In this exclusive HD video interview with Ms. Sukanya Janchoo, General Manager of The Dusit Thani Bangkok, Steven Howard of TravelNewsAsia.com asks Khun Sukanya about the hotel, its markets, RevPAR and these major changes. Travelodge Hotels Asia’s Brands and Expansion Plans - Exclusive HD Video Interview with Stephen Burt, Chairman. Exclusive HD video interview with Alejandro Bernabe, Group Director of Avani Hotels and Resorts. We talk about Avani Hotels' future plans and what exciting new developments are in the pipeline. You will also learn that Avani is about to announce a new sub brand, is currently building its first resort with private pool villas and what the group's position is on new technology.
Dusit Thani Bangkok Travelodge Hotels Asia Avani Hotels & Resorts
Jonathan Wigley, CEO of Travelodge Thailand, outlines expansion plans in HD Video Interview. Exclusive HD video interview with Myanmar's Minister of Tourism and Hotels, H.E. U Ohn Maung, about the status of tourism in the beautiful and mystical country of Myanmar (formerly known as Burma). Birth of a Luxury Thai Hotel Brand - HD Video Interview with Christopher E. Stafford, Chief Operating Officer of the newly formed 137 Pillars Hotels & Resorts.
CEO of Travelodge Thailand Myanmar Tourism Update Birth of Luxury Thai Hotel Brand
This HD video tour of Thai AirAsia X's brand new 337-seat Airbus A330-300 aircraft was filmed at Don Mueang Airport in Bangkok, Thailand on 14 May 2014  Exclusive HD video interview with Jaime J. Bautista, President & Chief Operating Officer (COO) of Philippine Airlines (PAL) HD video of the interior and exterior of a Thai Vietjet Airbus A320-200.
Thai AirAsia X A330-300 PAL President & COO Thai Vietjet A320-200
Inside Qatar Airways Boeing 787-8 Dreamliner - HD Video It takes 800 workers between 65 and 80 days to assemble, install, test, paint, furnish and deliver an Emirates Airbus A380. Showers, Bars, Lounge - The Emirates Airbus A380 Has Them All - HD Video Tour Thai Airways International Takes Delivery of Brand New Boeing 777-300ER
Qatar Airways B787 Emirates A380 Thai Airways B777-300ER

Latest Travel News
Advertising
Advertising

 
Copyright © 1997-2017 ASIATravelTips.com/TravelNewsAsia.com