Houston’s hotel construction activity has declined after Hurricane Harvey, according to a new report.
Local hoteliers were under construction on 4,494 hotel rooms in September, a 15 percent drop from last year, according to STR.
Nationally, hoteliers were under construction on 188,479 rooms, a 6 percent increase year over year, according to the Tennessee-based hotel data firm.
“Outside of Houston, there wasn’t a noticeable decline in activity around hurricane-affected markets,” Bobby Bowers, a vice president with STR, said in the report. “There is still potential for that to change if damage to existing sites and increased material costs continue to remain a challenge.”
U.S. hotel construction activity is up in 2017, but is increasing at a slower rate of growth compared with 2016. Despite the slowdown after Harvey, Houston still has a robust hotel construction pipeline with 16,266 rooms planned or under construction.
Hoteliers have opened several new luxury hotels in downtown Houston over the past year. Marriott Marquis, a 29-story, 1,000-room hotel, opened in December 2016. Hotel Alessandra, a 20-story, 223-room hotel, opened Oct. 1.