Europe’s Hotel Boom: Nearly 250,000 New Rooms Coming Soon to Transform Travel

“When hotels thrive, everything thrives!” – that’s what comes to mind when looking at the latest figures from Europe’s hotel market, particularly the impressive volume of new establishments planned for this year and beyond.

Nearly 250,000 rooms on the horizon

These are the latest findings from Lodging Econometrics, an organization specializing in Europe’s hotel market. By mid-2025, approximately 1,700 hotel development projects are underway, representing a potential 249,000 new rooms. This is on a European continent that already boasts around 600,000 to 650,000 establishments of all categories, capable of accommodating nearly 30 million guests simultaneously. Impressive numbers, though perhaps understandable for the world’s most visited region.

Diving into the details, it’s worth noting that upscale and upper-midscale properties dominate the pipeline – luxury establishments that represent more than 40% of planned developments. These projects are also concentrated in five countries (often centered around their major cities) that will house nearly half of this new inventory. Leading the pack is the United Kingdom (282 projects totaling 39,730 rooms), followed by Germany (157 hotels with 26,861 rooms), and Turkey (138 establishments offering 19,984 rooms). France follows with 118 projects and 11,242 rooms, while Portugal rounds out the top five with 111 projects and 13,987 rooms. Despite this development activity, Italy, France, and Spain continue to maintain Europe’s largest hotel inventory – together accounting for 50% of the continent’s total capacity.

These results demonstrate the robust vitality of the hotel sector across the continent, and by extension, the tourism industry – though it’s worth noting that many hotels serve both leisure travelers and business clientele.