European hotel markets are expected to see the addition of around 300 new hotels, during full year 2025, as investor and developer confidence remains steady.
Of those coming to the market, it is the upscale segment that is the most dominant. Lodging Econometrics records 357 projects, adding up to 55,136 rooms in this segment of the marketplace, up 8% year on year. The next busiest segment is upper midscale, with 300 live projects. Upper upscale is seeing record activity, with 287 live projects, up 7% year on year.
Construction activity is increasing
The current year fits into a rising tide of development. During 2024, the consultants recorded 289 hotels opened. Following the current year’s expected tally of around 300, 2026 is expected to see a further 340 new hotels opened, with an estimated 350 completing in 2027. Combined, these figures point to more than 95,000 rooms being added to inventory across the continent, over the next two years.
The most dynamic country market is the UK, where 277 projects are listed, representing a potential 39,402 more hotel rooms on the way. This sits substantially ahead of second placed Germany, where 152 projects are recorded. One surprise might be that Turkey is placed third in the activity ranking, with 140 projects representing a growth of 19,866 rooms.
The Lodging Econometrics data also breaks down activity in key destination cities. London has the greatest pipeline, reckoned at 76 projects that, if all executed, will deliver over 14,000 new rooms. Istanbul ranks second with 49 projects, ahead of Lisbon with 38 projects in the pipeline. One city fast rising in the minds of investors and hotel brands is Tashkent, which has seen a 30% increase in projects year on year. The research lists 30 hotels planned or under construction in the city.
Typical of a dynamic city market with plenty of pipeline is Hamburg, Germany. Here, recent branded openings have included a Conrad luxury hotel from Hilton, and a new Moxy for Marriott. Projects under construction include the Hoxton Hamburg, a 285 room Le Meridien, and two Holiday Inn hotels. Looking further ahead, brands with hotels in planning include Scandic, Premier Inn, and Moxy Hotel Hamburg Alstertwiete.
There also conversion projects planned. The Hotel International Hamburg will undergo a renovation before relaunching late in 2026 as Hyatt Regency Hamburg Hafencity.
Opportunities in Turkey
And in Turkey, the Top Hotel Projects database records no less than 166 live hotel projects across the country, a mix of new builds and conversions. Upcoming openings include the Swissotel Resort Bodrum Hill, Hampton by Hilton Denizli Guney and Spark by Hilton Van City Centre, all due to open within the coming weeks. International hotel brands are increasing their interest in a dynamic country with a growing tourism market that looks set to benefit as other European markets shift up to more luxurious segments of the visitor market.
