Daily Archives: September 6, 2017

Tourism Drives Hotel Construction Boom in Utah

a simple hotel roomSouthwest Utah will have as much as 1,000 hotel rooms by the end of 2017 due to growing tourism and pent-up demand, according to an NAIExcel report.

The real estate services company analyzed the market’s movement in drafting the new report, which counted more than 400 hotels rooms built since January and predicted the completion of over 450 rooms before Dec. 31.

Construction Areas

Some of the newly built hotels in the state’s southwest include three buildings in St. George, four in Springdale and three others each located in Cedar City, Hurricane and Virgin. Another four projects are expected to be built in St. George this year, as well as three more in each of Hurricane, LaVerkin and Ivins.

These projects are unlikely to happen if not for a record tourist figure in 2016, as there were 4.3 million people that went to the Zion National Park and other recreational facilities in the region. Jon Walter, a NAI associate broker and partner, said that the first half of 2017 already represented a good time for hotel construction.

The trend has likely benefited companies like Herrick Industrial Supply that offer construction and industrial supply online or offline, since more hotels have been built in the last 12 months than in the last 10 years, according to Walter.

Construction Jobs

An increased level of construction activity in general means more jobs. In the Provo-Orem area, construction employment surged 39.2% in May to more than 287,000 jobs from over 206,690 workers in July 2009.

The statistics led it to become the second best city among 430 metro areas in the U.S. where constructions jobs are on the rise. Cities in the west and south of the country recorded the best growth in construction employment.


Tourism helps local businesses and any region’s economy. The spate of hotel construction in southwest Utah further proves this.