The U.S. hotel development pipeline is gaining momentum, with several major markets preparing for a wave of new room openings in 2026. Data from CoStar shows New York City and Phoenix leading the country, reflecting steady demand and renewed confidence across the travel and hospitality sector.
New York City is projected to add 4,852 hotel rooms in 2026, holding its position as the top U.S. market for new supply for the second year in a row. Phoenix follows with 3,650 projected openings. Dallas, Orlando, and Miami complete the top five markets, with 3,558, 1,988, and 1,954 new rooms expected, respectively.
Major Markets Drive 2026 Growth
“For a second consecutive year, New York City leads the nation in expected new-build openings,” said Isaac Collazo, Senior Director of Analytics at STR, a division of CoStar. He noted that the city’s continued lead aligns with its strong occupancy performance over the past three years. At the same time, both room supply and demand remain below 2019 levels, suggesting room for additional growth.
The concentration of new development in large urban and leisure-oriented markets points to where developers see the strongest opportunities this year.
National Pipeline Returns to Pre-Pandemic Levels
At the national level, hotel development activity is trending upward. In 2025, the U.S. was expected to open 749 hotels totaling 79,116 rooms. That pace increases in 2026, with projections calling for 891 hotels and 99,011 rooms—figures that bring new supply back in line with pre-pandemic norms.
Looking further ahead, the pipeline strengthens again in 2027, with 1,688 hotels and nearly 192,000 rooms anticipated nationwide.
“While U.S. hotel development has been slow, there is still optimism around the industry based on the record number of projects in the pipeline,” Collazo said. He added that 2025 saw the highest level of new openings since 2021, with 2026 returning to pre-pandemic levels.
