In what might bode well for the future of discount hotel rooms and cheap vacation packages, New York is leading the increase in U.S. hotel development. New York has 20,000 rooms in development, equal to over 6 percent of 2011 total new hotel rooms in the U.S.
Overall the number of hotel rooms in America in the development pipeline is 11 percent higher than a year ago. The highest new hotel activity is being seen in New York City, followed by impressive growth in Las Vegas, Nashville, Orlando and San Diego.
Las Vegas is the second largest U.S. market for hotel room development, with approximately 10,000 new rooms being added.
Nashville is the fastest growing hotel market when measured by construction. It has 15 times its total hotel rooms in development this year vs. a year ago, with almost 1,400 rooms under construction.
Orland has more than doubled its number of rooms under construction from a year ago. San Diego is witnessing a 88 percent increase in rooms under construction.
Currently there are almost 3,000 hotel projects in progress across the U.S., resulting in almost 318,000 rooms which are either in the planning or construction phase.
Hotel growth such as is being experienced this year often initially results in lower hotel rates at least in the short term. www.cheapfares.com