The latest U.S. Construction Pipeline Trend Report from Lodging Econometrics (LE) shows that Dallas continues to lead all U.S. markets in hotel construction activity. At the end of the first quarter of 2026, Dallas had 184 projects totaling 22,861 rooms in its pipeline. Atlanta followed with 158 projects and 17,524 rooms, while Phoenix ranked third with 123 projects and 16,111 rooms. Other leading markets included Nashville, with 120 projects (16,740 rooms), and Austin, with 117 projects (13,850 rooms).
Projects Under Construction
Dallas also leads in the number of hotel projects currently under construction, with 37 projects representing 4,111 rooms. Phoenix closely follows with 36 projects and 5,096 rooms, indicating a strong construction pace. New York has 26 projects (4,636 rooms) under construction, while Miami and Atlanta have 24 (5,317 rooms) and 20 (2,008 rooms) projects, respectively. Phoenix showed notable growth in this category, with a 19% year-over-year increase in projects and an 11% rise in rooms under construction.
Projects Scheduled to Start in the Next 12 Months
Dallas also leads in projects scheduled to begin construction within the next 12 months, with 68 projects (7,909 rooms). Atlanta follows with 61 projects (6,748 rooms), Austin with 56 projects (6,097 rooms), the Inland Empire with 47 projects (4,939 rooms), and Nashville with 46 projects (6,583 rooms). Austin reported a 19% year-over-year increase in projects and a 14% rise in rooms in this stage.
Early Planning Stage Projects
In the early planning stage, Dallas again tops the list with 79 projects (10,841 rooms). Atlanta has 77 projects (8,768 rooms), Nashville 57 projects (7,993 rooms), the Inland Empire 54 projects (5,266 rooms), and Phoenix 52 projects (6,957 rooms). Phoenix recorded a 13% year-over-year increase in projects and a 28% increase in rooms in this phase.
New Project Announcements
Within the top 50 U.S. markets, 75 new projects totaling 12,137 rooms were announced during the first quarter of 2026. Phoenix led with nine new projects (901 rooms), followed by Tampa with six projects (694 rooms). New York, Nashville, Chicago, Atlanta, the Inland Empire (located east of Los Angeles County), and Indianapolis each announced four new projects.
Renovation and Brand Conversion Activity
Renovation and brand conversion activity remained steady across the country. Houston led with 35 combined renovation and conversion projects (5,336 rooms). Dallas, Atlanta, and Washington, D.C. each had 31 projects, accounting for 5,430, 3,836, and 3,757 rooms, respectively. San Antonio had 30 projects (2,881 rooms) under renovation or conversion at the end of the quarter.
Forecast for New Hotel Openings
For 2026, Phoenix is projected to lead in new hotel openings with 27 hotels (3,640 rooms), followed by New York with 21 hotels (3,458 rooms) and Dallas with 20 hotels (2,328 rooms). Austin and the Inland Empire are each forecast to open 12 new hotels, with 1,693 and 1,024 rooms, respectively.
Looking ahead to 2027, Dallas is expected to lead again with 27 new hotels (2,484 rooms), followed by Atlanta with 24 hotels (2,199 rooms) and Phoenix with 17 hotels (2,076 rooms). Indianapolis and the Inland Empire are forecast to have 16 new hotel openings each, with 2,246 and 1,410 rooms, respectively.
