Although far from its pre-Great Recession levels, lodging construction is moving forward, growing 14% this year, reports construction consulting firm FMI in its Q2-2014 Construction Outlook.
“Lodging growth is recovering from a large dip in 2009 and 2010, and activity to renovate and update will still be strong even as new lodging starts to improve,” the report notes. “Slow growth in new hotels is welcome by many in the industry as occu-pancy rates and RevPar (revenue per available room) improve. The increase in average daily rates per room will continue to be modest as business and vacation travelers shop for the best buy.”