By Roland Murphy for Arizona Builder’s Exchange
Despite ups and downs around the country due to a variety of economic and environmental factors, the hotel development sector in Arizona continues to remain comparatively strong, as evidenced by two new planned Holiday Inn-related developments around the state: A Holiday Inn Express in Phoenix and a traditional Holiday Inn in Page.
The AZBEX Database currently lists more than 100 projects in various stages of planning and development around the state in the Hospitality – Hotels/Resorts/Casinos sector. According to a release from CBRE Hotels Americas Research distributed on Hotel News Now, the U.S. hotel industry can expect to see a 10th consecutive year of growth in 2019. All 60 major markets CBRE tracks are expected to see increases in Average Daily Rates over the year.
Economic forces may catch up with the industry after 2019, the announcement states. “CBRE is not forecasting any economic or lodging industry recessions through 2022. However, industry growth is forecast to curtail beyond 2019. CBRE-EA sees higher interest rates, equity market corrections, credit-market problems and some shrinkage in employment as risk factors occurring in late 2019 and 2020 that adversely will affect the lodging industry in 2021. Fortunately, the economic slowdown is expected to be relatively mild and short.”