Dive Brief:

• Demand for hotel space seems to show no sign of declining – there were 2,925 projects under construction as 2014 opened.
• The hospitality sector has been a standout in all reports about the resurgence of commercial construction, sometimes appearing to be the one really bright spot.
• Smith Travel Research, which tracks the industry's capacity, said those 2,925 projects account for 357,769 rooms, which is 16.4% more than were being built in January 2013.

Dive Insight:

Industry analysis says that demand for hotel space was growing even during the recession, but financing for construction was not available. Best Western notes, for example, that all of its hotels are locally owned and generally depend on local banks to finance construction. One other data point for those who fear the industry may be overheated: In January 2008, 5,801 projects were under construction.