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California Hotel Openings Pick Up The Pace In First Half Of 2025

Hotel openings in California rose 64% in the first half of 2025, driven largely by the debut of the 1,600-room Gaylord Pacific Resort in Chula Vista, which alone accounted for over half of the state’s 135% increase in new hotel rooms. Even without the Gaylord, the state saw significant year-over-year growth, though hotel construction overall is slowing due to high costs, labor shortages, tariffs, and lengthy build times. While regulatory changes like CEQA rollbacks may ease some barriers, experts say financial and logistical challenges still make new hotel development difficult.