Save | Email | Print | Most Popular | Reprints | 
RSS
Lodging Econometrics has released its Q4 2008 Global Quarterly Report, which indicates that the worldwide hotel construction pipeline peaked last spring. Many projects in the pipeline have been unable to move toward construction due to unavailability of financing. For those projects where financing was already secure, developers rushed to get building underway. Cancellations and postponements have also skyrocketed. Not surprisingly, the report indicates plummeting occupancy and room rates throughout the world. LE predicts that transaction activity will be the first category to revive, since it will be more cost effective to rescue troubled hotels rather than build new ones.
Save | Email | Print | Most Popular | Reprints | RSS
RSS
Construction Pipeline Tumbles Across the Globe
April 1, 2009Lodging Econometrics has released its Q4 2008 Global Quarterly Report, which indicates that the worldwide hotel construction pipeline peaked last spring. Many projects in the pipeline have been unable to move toward construction due to unavailability of financing. For those projects where financing was already secure, developers rushed to get building underway. Cancellations and postponements have also skyrocketed. Not surprisingly, the report indicates plummeting occupancy and room rates throughout the world. LE predicts that transaction activity will be the first category to revive, since it will be more cost effective to rescue troubled hotels rather than build new ones.
Save | Email | Print | Most Popular | Reprints |
RSS
