Reviewed by: Nathan Watson
Reading time: 3 minutes
Birmingham has the highest percentage of hotel rooms under construction in Alabama, according to recent data published by CoStar Analytics.
The report highlights a major surge in the state’s hospitality pipeline, driven primarily by development in Birmingham and Huntsville. Midscale extended-stay brands dominate the new development across the state, while adaptive reuse projects and lifestyle concepts add to the variety of the market.
Birmingham hotel market leads Alabama in new construction
The data reveals that Birmingham’s hospitality sector is outpacing other major metropolitan areas in the state:
- Birmingham has approximately 1,000 hotel rooms currently under construction.
- This development represents 5.8% of the market’s total hotel inventory, making it the highest percentage of any region in Alabama.
Although the CoStar data is focused mostly on new builds and adaptive reuse projects, in the last few years, Birmingham has seen an increase in both new and renovated hotels. This growth is a sign of confidence in Birmingham’s day-to-day economic activity and its appeal as a regional travel and business hub…