New Hotels Opening in Greenville and Spartanburg in 2025

Greenville Business

The Upstate’s hospitality market is poised for significant growth in the upcoming year, with new hotels set to open in Greenville and Spartanburg. According to a recent report from Colliers, an international real estate firm, a total of 484 hotel rooms are currently under construction in the Greenville-Spartanburg area. The recent opening of the extended-stay hotel ECHO Suites in Spartanburg has already added 24 rooms to the market, with more on the way.

What to Expect

Here’s a look at some of the upcoming hotel openings and conversions:

DoubleTree by Hilton Green

Expected to deliver in the second fiscal quarter of 2025, this office-to-hotel conversion at 125 The Parkway will offer more than 140 rooms near Thornblade Country Club at Interstate 85.

Fairfield by Marriott

After receiving initial approval four years ago to build on Spartanburg’s St. John Street, this hotel is expected to bring 136 rooms by the second fiscal quarter of 2025.

WoodSpring Suites Anderson

Slated for completion by the third fiscal quarter of next year, this extended stay hotel will add 122 rooms to the area.

Despite the increase in the number of hotel rooms in the Upstate, construction has been hampered by inflation and high interest rates. Developers are keeping an eye on the results of the 2024 presidential election, as a potential lowering of interest rates by the Federal Reserve could boost construction activity. Purchase agreements for hotels are also on hold until January, as buyers anticipate a more favorable economy under the next presidential administration.

Market Trends

While the average daily cost for a hotel room has increased by $3 from last year, the overall occupancy rates in the Upstate hospitality market have seen slight growth. The area has maintained a long-term average occupancy rate of about 60 percent, with a peak of 71 percent in the second fiscal quarter of 2024.

According to Alia Bostaji, a hotel sales broker at Colliers, leisure travel is becoming more prevalent in the area, with luxury getaways like Hotel Hartness and the Grand Bohemian attracting visitors. However, business travel still accounts for three-quarters of total hotel stays in the region.

Conclusion

The opening of new hotels in Greenville and Spartanburg is a positive sign of growth for the Upstate hospitality market. With construction underway and more rooms set to become available in the coming year, the region is poised to attract both leisure and business travelers, further bolstering its status as a vibrant tourist destination.