February 24, 2016
A hotel development boom is underway in Orange County, and is being fueled by a sizzling tourism industry that saw 47.3-million visitors flock to the area last year, record hospitality employment, and favorable cash flows for owners.
A report from Irvine-based Atlas Hospitality Group shows that three hotels opened in Orange County last year, adding 606 rooms, after four hotels with 699 rooms opened in 2014. This year, the pace is set to accelerate with 12 hotels and 2,461 rooms scheduled to open. One much-anticipated opening is the 603-room Great Wolf Lodge in Garden Grove.
Atlas says an additional 25 hotels, with 4,234 rooms, are in various stages of planning. That pace is fine for the next few years says Atlas, but “lenders and buyers are now showing a little bit of caution.”