If it seems like there are a lot of new hotels being constructed in Manhattan, it's because there are a lot of new hotels being constructed in Manhattan. According to Jones Lang LaSalle Hotels, via the Wall Street Journal, the borough will see the number of hotel rooms rise to 90,000 next year, a 10 percent increase. This is "more than double the rate" of growth in the next major markets, Miami and Washington. A growing number of tourists (52 million last year and a projected 55 million by 2015) and rebounding rates make Manhattan attractive for hotel brands. Plus, experts say a hotel brand opening a Manhattan property is the equivalent of a rich person buying a condo in One57?it's a showpiece.
Fifty-seventh Street is emerging as a gilded hotel row, with forthcoming properties like the Quin, the Baccarat, and the Park Hyatt in One57. The Viceroy New York in the area also just changed hands, and the new owners told the Journal they bought it in large part because they wanted to be on 57th Street. Some people worry that the new inventory could put downward pressure on room rates?supply is expanding at 6 to 8 percent while tourism is growing at a rate of 4 to 5 percent?but it probably wouldn't signal the end of the world if the average rates dropped below the current $238 per night.
· Hotels Swell in Manhattan [WSJ]
· Mapping New York City's Hotels Under Construction [Curbed]