Dallas Leads U.S. Hotel Construction Pipeline as 2028 Openings Forecast Debuts

Dallas leads construction pipeline

Dallas had 183 hotel projects containing 22,840 rooms in its construction pipeline at the end of the second quarter, according to Lodging Econometrics’ Q2 2026 United States Construction Pipeline Trend Report. The market led the country in the number of projects and rooms planned across all development stages.

Atlanta ranked second, with 157 projects and 17,423 rooms. Nashville followed with 122 projects and 16,281 rooms, while Austin had 116 projects and 13,875 rooms. Phoenix ranked fifth with 115 projects and 16,136 rooms.

Several markets reached record pipeline totals during the quarter. Indianapolis reported 76 projects with 8,557 rooms, Tampa had 61 projects with 8,370 rooms, and St. Louis had 59 projects with 6,373 rooms. Oahu Island also reached a record total, with 11 projects accounting for 2,850 rooms.

Projects under construction

Dallas also led the country in projects already under construction, with 38 developments totaling 4,184 rooms. Phoenix followed with 31 projects and 4,621 rooms.

New York ranked third in active construction projects, with 29 projects and 5,811 rooms. Although it had fewer active projects than Dallas and Phoenix, New York’s room total was the largest among the five leading markets for construction activity.

Atlanta and Indianapolis each had 22 hotel projects under construction. Atlanta’s projects represented 3,020 rooms, while Indianapolis’ projects accounted for 2,311 rooms.

Development starts and early planning

Dallas had the largest number of hotel projects expected to begin construction over the next 12 months, with 68 projects and 7,885 rooms. Atlanta followed with 61 projects and 6,761 rooms. Austin had 59 planned starts with 6,542 rooms, while Nashville reported 49 projects with 6,623 rooms.

The Inland Empire ranked fifth for projects scheduled to start in the next year, with 43 projects and 4,545 rooms.

In early planning, Dallas again held the largest pipeline, with 77 projects and 10,771 rooms. Atlanta followed with 74 projects and 8,351 rooms. The Inland Empire and Orlando each had 54 projects in early planning. The Inland Empire’s projects accounted for 12,587 rooms, compared with 5,474 rooms in Orlando.

Nashville rounded out the five largest early-planning pipelines with 53 projects and 7,023 rooms.

New announcements and renovation activity

New York recorded the most new hotel project announcements during the second quarter, entering 11 projects with 2,296 rooms into the pipeline. Tampa followed with nine projects and 902 rooms.

Phoenix and Orlando each announced eight projects. Phoenix’s projects represented 1,641 rooms, while Orlando’s totaled 1,292 rooms. Nashville added seven projects with 844 rooms.

For renovation and conversion activity, Houston led the country with 35 projects and 4,841 rooms. The Washington, DC-MD-VA market followed with 33 projects and 4,669 rooms. San Antonio had 32 projects with 3,041 rooms.

Chicago and Atlanta each reported 31 renovation or conversion projects. Chicago’s projects totaled 5,732 rooms, while Atlanta’s accounted for 5,258 rooms.

Forecasts for new hotel openings

Phoenix is forecast to lead new hotel openings by the end of 2026, with 26 projects and 3,615 rooms expected to open. New York is projected to add 20 projects and 3,079 rooms, while Dallas is also forecast to open 20 projects totaling 2,332 rooms.

For 2027, Dallas is projected to lead with 27 new hotel projects and 2,486 rooms. Atlanta is forecast to follow with 22 projects and 2,145 rooms. Phoenix and Nashville are each expected to open 16 projects, while Indianapolis is projected to add 15 projects.

Lodging Econometrics released its 2028 opening forecast for the first time in the second quarter. Atlanta is projected to lead with 25 openings and 2,345 rooms. Dallas is forecast to follow with 19 projects and 2,042 rooms, while St. Louis, Austin, and Memphis are each expected to open 14 projects.