[IMGCAP(1)]

|

PHOENIX—For any members of the hotel industry waiting for theother shoe to drop, JP Ford, SVP and director of businessdevelopment at Lodging Econometrics, had good news to impart herelast week during this year's Lodging Conference.

|

While new supply is on the rise, he conceded, growth is far froma level where macro oversupply concerns are warranted. “Thepeak in construction occurred in the second quarter of 2008 whenthere were 5,883 projects, and 785,000 rooms. We're not even closeto that.

|

For 2014, he continued, “We're forecasting 1.3% supply growth,which is pretty benign and easy to absorb.”

|

Still, Ford did sound one note of caution. “When you're lookingat new supply, if you're a local owner—and all real estate islocal—you need to look at your own backyard and around the corner.Know what's in the pipeline that will impact you both near- andlong-term.”

|

To see Ford's Lodging Conference presentation and learn abouthis 2014 to 2016 forecast, click the button below.

Want to continue reading?
Become a Free ALM Digital Reader.

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications
NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

Rayna Katz

Rayna Katz is a seasoned business journalist whose extensive experience includes coverage of the lodging sector, travel and the culinary space. She was most recently content director for a business-to-business publisher, overseeing four publications. While at Meeting News, a travel trade publication, she received a Best Reporting award for a story on meeting cancellations in New Orleans during Hurricane Katrina.