The Latest Latin America Construction Pipeline Trend Report Lodging Econometrics’ (LE) report reveals a substantial increase in the hotel construction industry. By the end of the first quarter 2025, there were 715 hotel projects in Latin America, with 112,598 total rooms. This represents an 18% growth in projects over the past year and an 11% rise in rooms.
In Latin America at the end of the 1st quarter, 287 projects/49.570 rooms were under construction, representing a 15% increase YOY by projects, and a 5 % increase by rooms. The number of rooms and projects expected to be completed in the next twelve months is up by 1%.
The chain scales with the biggest pipelines in Latin America as of the end of Q1 include the upscale scale, with 139 project/20,122 room, the luxury scale, with 135 projects/26,440 rooms and the midscale scale, with 128 projects/15.772 rooms. In Latin America, the upper upscale scale reached a new record in Q1 with 119 projects/22 567 rooms.
Mexico, Brazil, and Dominican Republic are the three Latin American countries with the most projects in the pipeline. Mexico had 254 projects/39.163 rooms at the end of Q1, while Brazil had 112 projects/15.134 rooms. Mexico set a new Q1 record for project numbers, while the Dominican Republic set both a project and a room record. The three countries are responsible for 62% and 65% respectively of all the rooms and projects in the Latin America pipeline.
Mexico City has the most projects in Latin America, followed by Riviera Maya with 16 projects/1 846 rooms and Lima with 14 projects/2 192 rooms. Santo Domingo in the Dominican Republic has 13 projects/1 546 rooms, and Georgetown in Guyana has 12 projects/1 664 rooms.
The hotel renovation and conversion market in Latin America remains active at the end Q1 2025 with 137 projects/26.015 rooms. The quarter saw 36 construction projects totaling 5,353 bedrooms, and 58 new project announcements (9,364 rooms) showing growth.
In the first quarter of 2025, 8 new hotels with 1,319 rooms opened in Latin America. LE’s new openings forecast includes 89 more hotels, with 14,761 additional rooms, to be opened by the year’s end. This would bring the total number of projects for 2025 to 97, or 16,080. LE analysts predict that in 2026 there will be 133 new hotels with 20,345 new rooms in Latin America.
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