Hotel development plans will finish the year ahead of 2015

But there is an asterisk in the form of a 1,200-key project in LIC

TRD New York /
Nov.November 08, 2016 08:00 AM
 

The number of hotel units planned so far in New York City this year is up 46 percent from the same period in 2015, according to an analysis of Department of Buildings permit applications for known hotel projects by The Real Deal.

Through October, developers planned 4,961 units in 34 known hotel projects of at least 10 units, up from 3,395 in 31 projects during the first 10 months of 2015.

Hotel development plans peaked in 2014, when developers applied to build more than 9,000 hotel rooms. Last year, plans were cut nearly in half, signaling an end to what had been four consecutive years of year-over-year increases in planned projects, as TRD previously reported.

But the slide has stabilized and the data show that hotel development has even picked up pace. The hotel units planned so far this year (4,961) is already more than 2015 by year’s end (4,630).

There is, however, a pretty big catch. More than a quarter of the hotel units planned in 2016 come from a single development, the Japanese hotel chain Toyoko Inn’s colossal Long Island City hotel project that will rise 50 stories and fit 1,260 hotel rooms. Additionally, a select number of projects will include units that are residential rentals or condos but which are not specified by building plans, making it difficult to put an exact number on the true hotel pipeline at any given time.

Apart from the volume of planned projects, the geography of hotel development changed over the last year as well. By this time in 2015, only one qualifying hotel plan was filed in the Bronx, a 98-key new construction building in Mott Haven. On the year to date so far, there were nine hotels planned for the Bronx totaling 654 rooms. In Queens, the number of individual hotel buildings planned is notably down from last year, with nine projects in 2016 versus 14 during the period in 2015, perhaps because Long Island City is finally starting to run out of industrial sites to build as-of-right hotels on.


Related Articles

arrow_forward_ios
The economy beat expectations in June, adding 4.8 million jobs, with retail and hospitality leading the way. But a surge in coronavirus infections threatens further gains. (Getty)

Retail and hospitality led June job gains as virus surged

Retail and hospitality led June job gains as virus surged
Alex Sapir with the NoMo Soho hotel at 9 Crosby Street (Nomo Soho)

Sapir Corp’s earnings highlight challenges facing NYC hotels

Sapir Corp’s earnings highlight challenges facing NYC hotels
The rate of job loss in America has stabilized, even though businesses continue to hemorrhage employees at unprecedented levels. (iStock)

Unemployment filings stabilize — but at record highs

Unemployment filings stabilize — but at record highs
GFI Capital CEO Allen Gross and the James Hotel at 22 East 29th Street (Google Maps)

GFI Capital takes majority stake in James Hotel in $110M deal

GFI Capital takes majority stake in James Hotel in $110M deal
Federal Reserve Chairman Jerome Powell (Getty, iStock)

Real estate stocks outperform broader market but still sink

Real estate stocks outperform broader market but still sink
The construction, retail and restaurant sectors led May’s surprising jobs rebound, while the hotel industry continued to suffer. (Getty, iStock)

Construction, retail, restaurants lead May jobs rebound

Construction, retail, restaurants lead May jobs rebound
The Hotel Indigo Lower East Side at 171 Ludlow Street and Rotem Rosen (Credit: Hotel Indigo)

Tallying crisis’ toll on MRR Development’s Hotel Indigo

Tallying crisis’ toll on MRR Development’s Hotel Indigo
Selina CEO Rafael Museri (Credit: The Vollman Group)

Selina CEO says $60M in funding will get startup through crisis

Selina CEO says $60M in funding will get startup through crisis
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...