Financing climate freezes development of new hotels
The construction pipeline of new hotels has shrunk as companies around the world struggle to secure financing, experts say. A third-quarter report by Lodging Econometrics noted the number of projects in the construction pipeline has declined from year-ago levels. In the U.S., there was a 4% drop in the number of projects between the second and third quarters in 2008, the first decline in five years. Experts noted that even the Middle East, which is considered a strong market, will experience weakness from the financing crisis. GlobeSt.com (01/08)