Argentinian high end hotel pipeline slows as tourism strengthens

by | 29 Nov 2022 | Pipeline

Pictured: rendering of W Buenos Aires.

The direction of Argentina’s premium hotel pipeline looks to be in stark contrast to a recent rebound in international visitors.

With the South American nation lifting all covid restrictions for global travellers in recent months, tourism is almost back to pre-pandemic levels.

Visitor influx

Argentina’s Ministry of Tourism and Sports recently reported that 5.6 million visitors from abroad entered the country between 1 January and 31 October 2022. Of that number, 3 million were tourists.

The trajectory is upwards, with October itself representing the highest influx, totalling 410,000 tourists – 76% of the amount during the same month in 2019.

Shrinking pipeline

According to TOPHOTELPROJECTS statistics however, the country’s high end hotel pipeline has been gradually shrinking over the past couple of years. Our latest data shows that at least 34 high end hotels comprising 3,993 keys are currently in the offing.

Last year this was 42 hotel projects numbering 4,174 rooms and in 2020 the figures totalled 49 sites and 5,038 keys. In hotel site percentage terms, this represents a reduction of firstly 17% and then 24% year on year between 2020 and now, with room total percentages cut by 21% and 5%, respectively.

Leading brands

Hotel chains may therefore want to up their Argentinian development rates if the country’s tourism industry continues to expand. Brands already leading the charge are Hilton Worldwide’s Hilton Garden Inn and Hampton by Hilton, with four and three sites on the slate, respectively.

Lifestyle brand Selina, Marriott International’s Sheraton Hotels & Resorts and Accor’s Mercure Hotels make the high end hotel podium too, with two sites each.

Hotel hotspots

In terms of high end hotspots, capital city Buenos Aires heads the list with nine developments, with the country’s third most populous city, Rosario, coming in as runner up with three sites.

Sharing third place, with two hotels each, are Ushuaia, Bariloche and Cordoba.

Segments and deliveries

Premium segment composition shows a slight lean towards upscale four star sites, with 20 properties, equivalent to 59% of the total. The remaining 14 hotels/41% are luxury five star constructions.

2023 is currently the pipeline peak, with 13 hotels – 38% of the whole – due for delivery next year. 2024 will see another nine openings, (26% of the total) and 2025 will welcome a further five. Just one more site is due to complete by the end of this year, while the remaining six records in our database are yet to be scheduled.

Upcoming additions

Projects to watch out for in Argentina include W Buenos Aires, a 150 key hotel and residences which will be located within a $100 million, 34-storey, mixed-use tower. Amenities include a mix of meeting spaces, restaurants and a rooftop bar, with project delivery scheduled for 2024.

Plus, the 110-room Hampton by Hilton Rosario will appear in the heart of Rosario’s downtown in Q1 2024. The eight storey hotel will form part of a mixed use complex and will feature the brand’s amenities including a 24-hour business centre and fitness centre, while each guestroom will include an HDTV and coffeemaker.

Many TOPHOTELNEWS articles draw on exclusive information from the TOPHOTELPROJECTS construction database. This subscription-based product includes details of thousands of hotel projects around the world, along with the key decision-makers behind them. Please note, our data may differ from records held by other organisations. Generally, the database focuses on four- and five-star schemes of significant scale; tracks projects in either the vision, pre-planning, planning, under-construction, pre-opening or newly opened phase; and covers newbuilds, extensions, refurbishments and conversions.

Learn more

Related Articles

IHG announces plans for new-build Holiday Inn in Guwahati

IHG announces plans for new-build Holiday Inn in Guwahati

The 150-key Holiday Inn Guwahati is expected to open at the start of 2028. The hotel plays a role in IHG’s secondary market expansion plans in line with growing demand across the country. A burgeoning destination The new Holiday Inn will provide a new place to stay in...

Marriott goes for growth

Marriott goes for growth

In the US and Canada, regional signings of 91,000 rooms included 37,000 added via a strategic licensing agreement, signed with MGM Resorts International. While in Mexico, completion of the acquisition of City Express led to the addition of 150 hotels with 17,500 rooms...

SH details portfolio expansion plans

SH details portfolio expansion plans

The group revealed its pipeline projects now extend to 19 properties, across its three brands. And two of these, under its Treehouse brand, will launch later this year in Manchester, UK and Sunnyvale, USA. In common with many luxury brands, SH is also taking the...

IHG announces multiple signings for UK and Ireland hotels

IHG announces multiple signings for UK and Ireland hotels

Properties under the Hotel Indigo, voco hotels, Holiday Inn, Holiday Inn Express and Staybridge Suites brands will heighten the hospitality group’s presence across these countries. Growth across the portfolio Adding to its 350-plus portfolio of hotels in operation...

Pig hotels finds eleventh site

Pig hotels finds eleventh site

The latest additions to the chain are in Barnsley, a village in the Cotswolds close to Cirencester. The company has acquired the 17th century Barnsley House hotel, and with it the village pub the Boot - this being a first for the brand. The aim is for Pig to relaunch...

Accor grows luxury and lifestyle brands

Accor grows luxury and lifestyle brands

The group has a pipeline of 100 luxury and lifestyle hotels it will open through 2024 and 2025, and aims to maintain the momentum by signing at least 50 more projects per year. Building Ennismore's brands Many of the openings will be in Accor’s lifestyle division,...