Share: Share on Facebook Share on Twitter Share on LinkedIn I recommend visiting cushmanwakefield.com to read:%0A%0A {0} %0A%0A {1}

U.S. Hotel Construction Costs

Elaine Sahlins • 6/30/2020

Hotel Construction Costs Banner (image)

Cushman & Wakefield’s Hospitality and Gaming Practice provides consulting and valuation services for new and existing hotel properties across the globe.

In the first quarter of 2020, the hotel industry across the U.S. began to be impacted by the Covid-19 pandemic. Occupancy and average rate declined rapidly and a reported 18.0 percent of the national lodging industry suspended operations. As of June 2020, the impact of the pandemic on travel and hotel use is anticipated to require a number of years to recover to 2019 levels. Along with other sectors of real estate, hotel development has begun to be impacted by the economic consequences of the pandemic. The news continues to evolve, and we are hearing of projects being shelved, cancelled, and, for those near completion, opening have been postponed.

This report focuses on U.S. hotel development and is based on data and perspectives from a pre-Covid-19 environment. With a decline in construction expected in the next few years, some industry representatives anticipate a possible decline in construction costs. With the increased use of online meeting platforms and the reduction in food and beverage services, some changes in the outlets and meeting space facilities may inspire changes in physical design with an increased integration of technology. Whether these changes will be long term trend and how they impact development costs remains to be seen.  

Download the report to learn more.

With your permission we and our partners would like to use cookies in order to access and record information and process personal data, such as unique identifiers and standard information sent by a device to ensure our website performs as expected, to develop and improve our products, and for advertising and insight purposes.

Alternatively click on More Options and select your preferences before providing or refusing consent. Some processing of your personal data may not require your consent, but you have a right to object to such processing.

You can change your preferences at any time by returning to this site or clicking on  Cookies

More Options
Agree and Close
These cookies ensure that our website performs as expected,for example website traffic load is balanced across our servers to prevent our website from crashing during particularly high usage.
These cookies allow our website to remember choices you make (such as your user name, language or the region you are in) and provide enhanced features. These cookies do not gather any information about you that could be used for advertising or remember where you have been on the internet.
These cookies allow us to work with our marketing partners to understand which ads or links you have clicked on before arriving on our website or to help us make our advertising more relevant to you.
Agree All
Reject All
SAVE SETTINGS