According to the report by Lodging Econometrics, the construction of hotels in the domain of projects in the pipeline has been on the rise. Following, the rise in the number of hotel rooms constructed in a year from Q1 2019 to Q1 2020 was also noted. While the occupancy in hotels in the US is lower than the average even when it’s not a holiday season, hotel owners are turning to renovations and rebuilding.
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Activity in Hotel Construction Increases from Q1 2019 to Q1 2020
The number of projects in hotel construction for the period between Q1 2019 and Q1 2020 has increased by 1% following a rise of 3% in the same period regarding the number of hotel rooms. Before the increase in the first quarter of 2020, the same sector of construction dropped by -1%. Despite the latest crisis, hotel construction is kept up and running while noting increases in activity. The number of hotels in construction even touched an all-time high in the first quarter of 202o despite the active COVID-19 crisis.
Hotel Openings Postponed for the Second Half of 2020
Despite the evident increases in construction activity, due to the virus crisis in the first quarter of 2020, some contractors have postponed final deadlines for project completion. Hotel owners are likewise postponing hotel openings, delaying the official start with bookings for the second half of the year. For some projects, completion dates and final deadlines have been postponed by 6 months.
Hilton Hotels Helping the Medical Staff Across the US
To acknowledge the efforts of medical staff across the US, Hilton is donating a million rooms to medical workers who need to isolate from their families or need a place to rest. Officials across the US, like for example in New York, are providing initiatives for hotels aiding in times of pandemics by donating rooms.
