UK tops European hotel pipeline list in Q2

The UK is the top country with the strongest hotel pipelines in Europe in Q2 2023, according to the Europe Hotel Construction Pipeline Trend Report from Lodging Econometrics (LE).

The country is currently leading with 322 projects/45,181 rooms, followed by Germany with 211 projects/34,981 rooms.

Other countries include France with 132 projects/14,869 rooms, Portugal with 127 projects/15,446 rooms, and Turkey with 107 projects/15,670 rooms.

LE said that these countries, combined, were responsible for 52% of the projects and 49% of the rooms in Europe’s total pipeline.

It also stated that the United Kingdom, Germany, France, Portugal, and Turkey are expected to continue to lead Europe with the most hotels forecast to open through 2025.

Additionally, London with 82 projects/14,767 rooms, and Istanbul, with record project counts of 42 projects/7,222 rooms were European cities with the largest pipelines.

Franchise companies with the largest construction pipelines were led by Accor with 276 projects/36,909 rooms followed by Hilton Worldwide with 202 projects/28,825 rooms, Marriott International with 178 projects/27,142 rooms, then IHG Hotels and Resorts with 143 projects/19,108 rooms, and Radisson Hotel Group with 59 projects/11,452 rooms.

These five global franchises have accounted for 50% of the projects in Europe’s pipeline.

According to the report, the leading brands in the region in Q2 were Accor’s Ibis brands, with 91 projects/10,773 rooms.

Following the Ibis brands are Hilton’s Hampton by Hilton brands with 71 projects/10,345 rooms, IHG’ Holiday Inn Express with 45 projects/6,129 rooms, and Marriott’s Moxy brand with 38 projects/6,091 rooms.
In the first half of 2023, Europe opened 150 new hotels with 20,027 rooms and is forecast to open another 265 new hotels with 35,491 rooms by year’s end.

LE also expects 381 new hotels/51,708 rooms to open in 2024, and, in 2025, 365 new hotels/56,094 rooms are forecast to open.