As Domestic Hotels Stall, Activity Continues Overseas

As the recession continues, the hospitality market is taking whatever it can these days in terms of good news. Looking back over the past couple of weeks, you will see that despite economic struggles that have laid low the hospitality industry, some hotel developers are still seeing opportunities for growth. The international market seems especially active. Last week Intercontinental Hotels Group unveiled plans to build new hotels in Edinburgh and Moscow. And in the Dominican Republic, AMResorts plans to develop two new luxury resorts at Cap Cana for $200 million. Locally, however, it seems as though credit crunch has forced hotel developers to think smaller, as many projects have been halted or postponed. As noted in a recent Ernst & Young lodging report, growth is not on the current list of hotel industry trends.

Will the international market continue to be where the action is in the sector? Or will foreign development come to a halt as well as the global recession drags on?