There are 3,696 projects totaling 441,397 rooms Under Contract in the United States, according to the September 2015 STR Pipeline Report. This represents an 11.7% increase in the number of rooms Under Contract compared with September 2014 and a 19.6% year-over-year increase in rooms under construction.Under Contract data includes projects in the In Construction, Final Planning and Planning stages but does not include projects in the Unconfirmed stage.
“The markets with the highest counts of existing supply continue to be the most popular for new projects,” said Bobby Bowers, STR’s senior VP for operations. “The Top 26 Markets accounted for nearly 49.0% of rooms In Construction in the U.S. and almost 41.0% of rooms in Final Planning. And 19 of those markets experienced higher room construction numbers when compared with last September.”
New York, New York, reported the most rooms Under Contract with 31,849 rooms. Four additional markets reported more than 10,000 rooms Under Contract for the month: Houston, Texas (18,365 rooms); Dallas, Texas (12,350 rooms); Miami/Hialeah, Florida (10,615 rooms); and Washington, D.C.-Maryland-Virginia (10,164 rooms).
New York also had the largest number of rooms under construction with 13,107 rooms. Houston followed with 6,639 rooms In Construction.
“The New York, New York, market accounted for roughly 10.0% of total U.S. construction activity in September, and the 13,000-plus rooms under construction in that market represent a little more than 11.0% of its existing supply,” Bowers said.
Five other markets reported more than 3,000 rooms under construction: Los Angeles/Long Beach, California (4,052 rooms); Las Vegas, Nevada (3,905 rooms); Washington, D.C.-Maryland-Virginia (3,588 rooms); Dallas (3,427 rooms); and Miami/Hialeah (3,314 rooms).
Four markets reported less than 500 rooms under construction: San Francisco/San Mateo, California (430 rooms); Norfolk/Virginia Beach, Virginia (394 rooms); St. Louis, Missouri-Illinois (332 rooms); and Oahu Island, Hawaii (zero rooms).