Bay Area hotel development slows in face of rough market
Briefly

Bay Area hotel development slows in face of rough market
"Hotel development in the Bay Area saw a drastic decrease, with only 1,453 hotel rooms under construction in the first half of 2025, marking a 46.7% drop from 2024."
"California as a whole experienced a 21.4% decline in hotel room construction in the first half of 2025, with 12,213 rooms being built."
"Southern California also faced a downturn, with 6,995 hotel rooms under construction, a decrease of 21.9% from the previous year."
"Santa Clara County reported an 89.5% drop in hotel construction, with only 72 rooms under construction compared to 684 the year before."
Hotel development in both the Bay Area and California has slowed notably, as identified in a report by Atlas Hospitality Group. In the first half of 2025, 1,453 hotel rooms were under construction in the Bay Area, reflecting a 46.7% decrease from the previous year. Statewide, California saw a 21.4% reduction, with 12,213 hotel rooms under construction. Southern California's construction figures also dropped by 21.9%, with 6,995 rooms being built. Notably, Santa Clara County experienced an 89.5% decline, while Napa County saw a 72.4% increase.
Read at www.mercurynews.com
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