Nearly 5,900 hotel projects in development
According to the U.S. Hotel Construction Pipeline Trend Report, published on 26 October 2026 by Lodging Econometrics (LE), the US hotel development pipeline totalled 5,901 projects representing 692,999 rooms at the end of the third quarter.
The pipeline is divided into three main development stages:
- 1,094 projects and 137,371 rooms under construction.
- 2,175 projects and 246,793 rooms scheduled to begin construction within the next twelve months.
- 2,632 projects and 308,835 rooms in the early planning stage.
During the third quarter alone, construction began on 152 projects representing 19,106 rooms, while 195 new projects totalling 22,016 rooms were announced.
These figures demonstrate the scale of hotel development in the United States, although not all projects in the pipeline are expected to be delivered simultaneously.
Extended stay emerges as a major market segment
With 2,352 projects and 236,219 rooms, extended-stay accommodation now represents 40% of projects and 34% of rooms in the US hotel development pipeline.
This proportion highlights the growing importance of accommodation formats designed for guests staying longer than in traditional hotels.
The midscale segment accounts for most of this activity, with 1,628 projects and 152,287 rooms, representing 69% of extended-stay projects.
Upper-tier categories account for 575 projects and 66,866 rooms, while economy categories total 149 projects and 17,066 rooms.
Across the extended-stay pipeline, 424 properties are already under construction, 1,006 are expected to break ground within the next twelve months, and 922 remain in the early planning stage.
LTH Analysis | The importance of extended stay within the development pipeline reflects a structural shift in hotel development strategies. However, this alone does not establish that the segment delivers higher profitability. Returns depend on local market conditions, operating costs, investment requirements and the actual length of guest stays.
Luxury and upper upscale reach record levels
Alongside the growth of extended stay, Lodging Econometrics reports sustained development activity in the higher-end categories.
The luxury segment has reached a record 108 projects and 25,776 rooms, representing year-on-year increases of 14% in project numbers and 19% in room numbers.
The upper upscale segment has also reached a record in project numbers, with 375 properties and 66,028 rooms, equivalent to a 3% annual increase in the number of projects.
In terms of volume, however, the upper midscale and upscale categories continue to dominate the market.
They account for 2,206 projects representing 211,553 rooms and 1,257 projects representing 157,225 rooms, respectively.
Together, these categories represent 66% of projects and 63% of rooms in the US pipeline.
The midscale category accounts for a further 918 projects and 76,487 rooms.
US hotel development is therefore being driven by several simultaneous trends: a strong concentration of development volume in the mid-market and upscale segments, growth in extended-stay accommodation and record activity in luxury hospitality.
Brand conversions and renovations: more than 250,000 rooms involved
US hotel development is not limited to new construction.
Lodging Econometrics identifies 1,516 brand conversion projects, representing 146,544 rooms, an annual increase of 3% in the number of projects.
These are accompanied by 525 renovation projects covering 105,365 rooms.
Combined, the renovation and brand conversion pipeline stands at 2,041 projects and 251,909 rooms.
These projects represent another dimension of the transformation of the US hotel inventory, alongside the development of new properties.
The report also identifies 1,506 projects on shared sites, representing 149,303 rooms. This model brings together several hotel or accommodation brands within a single real estate development.
Hotel openings expected to increase through 2028
During the first nine months of 2026, 407 new hotels representing 46,031 rooms opened in the United States.
Lodging Econometrics forecasts a further 191 openings before the end of the year, bringing the annual total to 598 hotels and 68,191 rooms, equivalent to a 1.2% increase in national room supply.
Projections then indicate an acceleration:
| Year | New hotels | Rooms | Supply growth |
|---|---|---|---|
| 2026 (forecast) | 598 | 68,191 | +1.2% |
| 2027 (forecast) | 668 | 72,667 | +1.3% |
| 2028 (forecast) | 775 | 86,377 | +1.5% |
These forecasts remain dependent on projects being completed and delivered according to their anticipated schedules.
LTH Analysis | Diversification in US hotel development
The third-quarter 2026 figures highlight three major directions in the US market.
The first is the increasingly significant role of extended-stay accommodation in development projects, particularly in the mid-market segments.
The second is the coexistence of this trend with sustained investment in luxury and upper upscale hospitality, where development pipelines have reached record levels.
The third is the importance of brand conversions and renovations in supporting the renewal of the existing hotel inventory.
For investors and operators, the principal takeaway lies less in the overall volume of projects than in the diversification of the hotel operating models being developed.
The next question will be how effectively these additional rooms, depending on their market segment and location, are absorbed by demand over the coming years.
At a Glance
The US hotel construction pipeline reached 5,901 projects and 692,999 rooms in Q3 2026.
Extended-stay accommodation accounted for 40% of projects and 34% of rooms.
Luxury reached a record 108 projects and 25,776 rooms, while upper upscale recorded a high of 375 projects.
Upscale and upper midscale segments represented 66% of all pipeline projects.
Renovation and brand conversion activity totalled 2,041 projects and 251,909 rooms.
Lodging Econometrics forecasts 775 new hotels and 86,377 rooms opening in 2028.
