Latest news with #CoStar
Yahoo
a day ago
- Business
- Yahoo
US hotel construction hits five-year low
The number of hotel rooms under construction in the United States fell for the sixth straight month in June 2025, reaching its lowest point in five years, according to CoStar's latest data. The total stood at 138,922 rooms, an 11.9% decrease compared to June 2024. This marks a significant slowdown in hotel development, reflecting broader economic challenges and shifting market dynamics. Economic uncertainty and rising costs dampen development Analysts attribute the decline to several factors, including reduced demand for hotel stays, persistent economic uncertainty, and escalating construction costs. Isaac Collazo, senior director of analytics at STR, noted that the current environment has led to a 20-quarter low in the number of rooms under construction. He added that more than half of the rooms in development are located in the Southern United States, primarily outside the top 25 metropolitan markets, with many projects still in the early planning stages and unlikely to commence construction soon. Regional trends and market focus The Southern region accounts for over half of all rooms currently under development, with a significant portion situated outside major metropolitan areas. Despite the overall slowdown, the upscale and upper upscale segments continue to dominate new developments, comprising the majority of rooms under construction. These segments remain the focal point for developers, even as the number of new projects is expected to decrease in the near future. Future outlook for hotel development Looking ahead, the hotel construction pipeline remains active, with 349,802 rooms in the planning phase, a 4.8% increase from the previous year. However, the majority of these projects are still in the early stages, and many may face delays or cancellations due to ongoing economic pressures. The industry will need to navigate these challenges carefully to maintain a balanced and sustainable development trajectory. The sustained decline in hotel construction underscores the need for developers and investors to adapt to the current economic landscape. While the planning phase shows some growth, the actualisation of these projects will depend on the resolution of economic uncertainties and the stabilization of construction costs. "US hotel construction hits five-year low" was originally created and published by Hotel Management Network, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site.
Zawya
5 days ago
- Business
- Zawya
Abu Dhabi hotel performance jumps during Eid Al-Adha
Abu Dhabi's hotel industry recorded its highest June occupancy and revenue per available room since 2009, due to improved performance during Eid al-Adha, according to preliminary data from CoStar. The occupancy rate increased by 5.0% to 71.9%, with an average daily rate (ADR) of AED496.78 ($135.25) and a revenue per available room (RevPAR)of AED357.10. The market's average daily rate was its highest for a June since 2010. The occupancy peak was at 91.5% on 6 June, pushing RevPAR to a monthly high of AED602.47. The highest ADR was posted on the following night (7 June) at AED663.71. -TradeArabia News Service Copyright 2024 Al Hilal Publishing and Marketing Group Provided by SyndiGate Media Inc. (
Telegraph
10-07-2025
- Business
- Telegraph
Khan's Ulez hollows out London as empty shops hit decade high
Store closures across London have hit a 10-year high following Sir Sadiq Khan's expansion of the ultra-low emissions zone (Ulez). According to new figures from property analysts firm CoStar, the vacancy rate for shops across all London boroughs soared to 6.2pc this year, compared to 1.9pc in areas immediately outside of the capital. The figures reflect the impact of the Ulez on high streets, particularly after the Mayor of London expanded the charge to cover the whole of the capital two years ago. CoStar's researchers said that while the effects of the pandemic have increased retail vacancy rates across the country, the increases elsewhere were 'more moderate' than those in the capital. Store closures have been proven to be a particular problem in outer London. For example, the number of empty shops in Bromley has more than doubled to more than 20 since July last year, figures show. Retail parks within the Ulez zone are also battling vacancy rates of 4.2pc, CoStar found, compared to 0.2pc for those in unaffected areas. This has been fuelled by a drop in leasing demand, as retailers fear reduced footfall caused by Ulez, which charges drivers whose vehicles do not comply with emissions standards £12.50 a day. Shrinking demand for retail space Thomas Turrell, the Conservative London Assembly member for Bexley and Bromley, said: 'The Conservatives warned the Mayor quite clearly that the ULEZ expansion would have unforeseen impacts on the way people in outer London live and work – and as we see now in the data, one of those consequences is the high street. 'Local economies are struggling already as a result of the Labour Government's catastrophic jobs tax, and the Mayor whacking ULEZ on top is only exacerbating that. High streets are at the heart of our local economies, and I want to see work done to save them before it is too late. 'Sadiq Khan and Labour just don't get Greater London, the ill-advised expansion of ULEZ to Outer London was a clear example of this. Patrick Scanlon, senior director of market analytics at CoStar, said the group's findings signalled that the expanded policy has shrunk demand for retail space. He said that the negative impact of Ulez could potentially be a 'short-term problem' because more drivers will gradually trade their old vehicles for newer ones. However, Mr Scanlon warned that high vacancy rates could have a serious effect on investment. He said: 'The question is how much more vacancy we're going to see because of the Ulez expansion. Investors will tend not to want to buy into areas with systemic high vacancy, so there are implications. Attracting investors might become difficult.' A spokesman for the Mayor of London said that TfL and the GLA's report found the Ulez expansion 'has not impacted footfall or retail and leisure spending in either outer London or London as a whole'. She also pointed to research from the Centre for Cities, the think tank, which concluded that the expansion has not reduced demand for high street goods and services. The spokesman said: 'Recent data shows that Ulez works, driving down levels of pollution and bringing cleaner air to all Londoners. 'With 97.1pc of vehicles seen driving in London now Ulez compliant, the data also shows that Londoners have continued to upgrade their vehicles to cleaner models.'
ME Construction
10-07-2025
- Business
- ME Construction
Sweid & Sweid expands in Austin, Texas
Property Sweid & Sweid expands in Austin, Texas By With a presence in both the United Arab Emirates and the United States, Sweid & Sweid continues to serve as a bridge between regional development expertise and investment capital in the US Dubai-based Sweid & Sweid has completed its first phase of apartments at The Nelson, a 370-unit multifamily development nestled in the Austin, Texas submarket. With a presence in both the United Arab Emirates and the United States, Sweid & Sweid continues to serve as a bridge between regional development expertise and investment capital in the US, the firm said. 'Our activity in the US is a long-term strategic diversification play. We currently see great opportunities in both markets, albeit driven by different forces. In the US, the tight supply pipeline driven by high interest rates and low construction starts is predicted to create an acute shortage in the coming years,' said Maher Sweid, Managing Partner of Sweid & Sweid. 'In contrast, Dubai is witnessing a significant amount of oncoming supply, but the demand growth has been impressive and unprecedented.' For Sweid & Sweid, The Nelson represents the latest chapter in a growing portfolio of UAE and U.S. projects. With a track record of identifying opportunities in high-growth, economically diverse markets, the firm continues to expand its footprint across both countries. 'Ultimately, we believe that disciplined capital, applied at the right moments in the cycle to the right product, will continue to generate outsized returns,' added Sweid. Austin's real estate market is at a critical juncture. After years of rapid development, new construction in the city has slowed down considerably, while demand remains strong. According to CoStar, the first quarter saw the strongest absorption rate ever recorded, with 5,470 units sold. However, new construction starts have dropped to their lowest level since 2011, indicating a significant tightening in the supply pipeline.
Web Release
08-07-2025
- Business
- Web Release
Sweid & Sweid Expands U.S. Presence with Development in Austin, Texas.
Sweid & Sweid, the Dubai-based international real estate development and investment group, has announced completion of its first phase of apartments at The Nelson, a 370-unit multifamily development located in the thriving Austin, Texas submarket. With a presence in both the UAE and U.S. markets, Sweid & Sweid continues to serve as a conduit for delivering regional development expertise and investment capital to the U.S., which has historically been counter-cyclical to the UAE's market. 'Our activity in the U.S. is a long-term strategic diversification play. We currently see great opportunities in both markets, albeit driven by different forces. In the U.S., the tight supply pipeline driven by high interest rates and low construction starts is predicted to create an acute shortage in the coming years,' said Maher Sweid, Managing Partner of Sweid & Sweid. 'In contrast, Dubai is witnessing a significant amount of oncoming supply, but the demand growth has been impressive and unprecedented.' The milestone comes at a pivotal time in Austin's real estate landscape. Following several years of elevated development activity, new construction in the city has slowed significantly, while demand remains resilient. According to CoStar, first-quarter absorption reached 5,470 units—the strongest first-quarter performance on record—while new construction starts dropped to their lowest level since 2011, signalling a substantial tightening in the supply pipeline. For Sweid & Sweid, The Nelson represents the latest chapter in a growing portfolio of UAE and U.S. projects. With a track record of identifying opportunities in high-growth, economically diverse markets, the firm continues to expand its footprint across both countries. 'Ultimately, we believe that disciplined capital, applied at the right moments in the cycle to the right product, will continue to generate outsized returns,' added Sweid.
