This year’s Hotel Development Pipeline Report, the definitive study of international hospitality projects across Africa, reveals record levels of activity, with 577 hotels and resorts comprising 104,444 rooms in the development pipeline — a 13.3% increase on 2024 and well ahead of the single-digit growth seen globally among the leading international chains.
The report, compiled by Lagos-based W Hospitality Group using data from 50 international and regional hotel chains, shows that development activity has been growing impressively in North Africa, which saw a 23% year-on-year increase, compared to a 6% increase in sub-Saharan Africa. Over the past five years, the hotel development pipeline has grown at an annualised rate of 4% in sub-Saharan Africa, 12% in North Africa and 7% overall.
Egypt leads hotel pipeline growth
Egypt continues to lead the way in terms of development, with 143 hotels and 33,926 rooms in the pipeline. This is almost four times the number of rooms in second-placed Morocco, which has 8,579 rooms in 58 hotels. The following eight countries, ranked by number of rooms, are:
Nigeria – 7,320
Ethiopia – 5,648
Cape Verde – 5,565
Kenya – 4,344
Tunisia – 4,336
South Africa – 4,076
Tanzania – 3,432
Ghana – 3,125
International hotel chains have deals signed in 42 of Africa’s 54 countries
Despite Egypt’s dominance in absolute numbers, fewer than 50% of rooms are under construction.
Morocco, by contrast, has over 72% of its pipeline rooms under construction. Of the top 10 countries, Ethiopia has the highest ratio of rooms “on site”, followed by Morocco and Ghana. Cape Verde, Nigeria and Tanzania have some of the lowest percentages.
However, it’s worth noting that “under construction” does not always reflect active progress. In Nigeria and Ghana, for example, many sites have been inactive for years, with little to no visible development activity.
Cairo dominates planned hotel locations
A more granular analysis of locations reveals an extraordinary boom in Cairo, with 17,757 new rooms projected in over 70 hotels. The contrast with second-placed Sharm El Sheikh is stark, where 4,231 rooms are planned in fewer than 10 properties.
Other top locations by number of rooms include:
Lagos – 3,709
Boa Vista – 3,650
Addis Ababa – 3,369
Casablanca – 2,939
Accra – 2,652
Abuja – 2,570
Zanzibar – 2,523
Dakar – 2,334
Major hotel chains drive expansion
The growth is strongly driven by the major international hotel chains, with the top contributors being:
Marriott International – 165 hotels, 29,639 rooms
Hilton – 93 hotels, 17,040 rooms
Accor – 73 hotels, 15,013 rooms
IHG – 40 hotels, 7,951 rooms
Radisson Hotel Group – 32 hotels, 6,346 rooms
TUI Hotels & Resorts – 11 hotels, 2,954 rooms
Barceló Hotels & Resorts – 7 hotels, 2,193 rooms
The Ascott – 15 hotels, 1,897 rooms
Kerten Hospitality – 13 hotels, 1,881 rooms
Wyndham Hotels & Resorts – 7 hotels, 1,706 rooms
Hilton added slightly more rooms to its African pipeline last year than Marriott and achieved a higher percentage growth. Barceló Hotels & Resorts saw the largest percentage growth, more than doubling its pipeline to 2,193 rooms, including three large resort signings in North Africa.
Key trends shaping hotel development
Below the headline numbers, three notable trends are emerging:
Rising actualisation rate: The actualisation rate — the proportion of expected openings that actually happen — has nearly doubled from 21% in 2023 to 38% in 2024. While still well below the 75% rate in 2019, it indicates a steady recovery from the COVID-19 disruption. Over 50,000 rooms in 304 hotels are expected to open in 2025 and 2026.
Resort developments outpacing urban hotels: Resort projects are increasing faster than city or airport hotels, both in percentage terms and absolute numbers. This growth is fuelled by larger project sizes — 210 rooms per resort vs. 170 in city hotels. Nearly half of all rooms opened last year were in resorts.
Shift towards the franchise model: Chains are moving increasingly towards franchise agreements, with 108 projects (almost 19% of the total) under this model, compared to less than 10% in 2020. This is largely due to the rise of white-label operators such as Aleph Hospitality and Valor Hospitality, and indigenous players in Nigeria, Kenya, and other countries, boosting confidence in brand standard compliance.
Optimism for future growth
The full report will be discussed at FHS Africa (formerly AHIF), taking place 17–19 June in Cape Town. As the region’s leading hospitality investment conference, it brings together senior decision-makers to shape the future of the industry.
Matthew Weihs, managing director of the Bench, which organises FHS Africa, said: “The growth in hotel development across Africa is a testament to the continent’s economic and tourism potential. Furthermore, the commitment from the international hotel chains makes it clear that global players see Africa as a strategic opportunity.”
Trevor Ward, managing director of W Hospitality Group, added: “Despite the various trials that the continent faces, the fact that hotel chains signed 125 new deals last year, with 21,000 rooms, is evidence that opportunities for further development abound. According to the Global Cities Institute, by the year 2100, ten of the world’s sixteen largest cities will be in Africa, with all but one of them (Cairo) in sub-Saharan Africa. So, one might say that development activity in Africa has barely scratched the surface.”
