Canada’s hotel construction pipeline is making quiet but confident progress. According to Lodging Econometrics’ Q2 2025 Hotel Construction Pipeline Trend Report, the country’s pipeline reached 333 projects and 44,764 rooms—marking a 3% year-over-year (YOY) increase in projects and an 11% boost in rooms.

Ontario and Vancouver steal the spotlight

Currently, 68 projects (9,038 rooms) are under construction, making up 20% of the total pipeline. Projects scheduled to begin in the next 12 months surged to 100, totaling 12,955 rooms—a 25% YOY increase in projects and a 40% spike in rooms. In early planning, 165 projects with 22,771 rooms are also in the works, showing solid long-term confidence in the market.

Leading the charge are Ontario and British Columbia. Together with Quebec, these three provinces account for 86% of all hotel projects and 89% of rooms in the pipeline.

Top provinces by project count:

Ontario: 197 projects | 27,776 rooms

British Columbia: 68 projects | 9,607 rooms

Quebec: 22 projects | 2,310 rooms

Among Canadian cities, Toronto tops the list with record highs of 74 projects and 12,219 rooms—growing 9% YOY in projects and 28% in rooms. Vancouver showed the biggest YOY percentage gains, recording 33 projects (up 57%) and 5,473 rooms (up 34%). Meanwhile, Niagara Falls holds steady with 19 projects and 5,236 rooms.

Midscale to upscale, with a renovation boom

The upper midscale segment leads Canada’s pipeline with 126 projects (13,203 rooms), followed by upscale with 66 projects (9,258 rooms)—up 14% YOY in projects and 17% in rooms. The midscale segment maintains its position with 39 projects (3,491 rooms).

Canada also saw:

124 renovation and brand conversion projects (a record high)

13 new project announcements

6 construction starts in Q2

Looking ahead, the region is expected to open:

45 hotels in 2025 (5,315 rooms)

42 hotels in 2026 (5,375 rooms)

52 hotels in 2027 (5,744 rooms)

If the trend continues, Canada may soon be just as famous for its hotel growth as it is for maple syrup and amazing customer service!