TBM Staff - Mumbai
China’s hotel industry is experiencing a major boom, with the construction pipeline reaching a new all-time high at the end of 2023. This report by Lodging Econometrics highlights growth and expansion.
3,788 projects are currently in the pipeline, representing a 6% increase in projects and a 2% increase in rooms year-over-year. Construction is underway for 2,644 projects, while 420 projects are expected to break ground in the next year. Notably, the early planning stage saw a surge, with a 30% increase in projects and a 16% increase in rooms.
Upscale and upper midscale segments together claim over 50% of the pipeline, reaching new highs in both project and room counts. The upscale segment grew 13% by projects and 7% by rooms, reaching 879 projects and 202,831 rooms.
Upper midscale maintained its strength with 1,253 projects and 197,122 rooms, reflecting a 12% and 7% increase, respectively.
Chengdu leads the pack with 148 projects/29,575 rooms, followed by Shanghai, Guangzhou, Hangzhou, and Xi’an.
683 new hotels opened in 2023, with an expected increase in new openings fueled by the robust pipeline. LE forecasts 871 new hotels in 2024 and 955 in 2025.
