Africa is on track for a boom in high-end hotels and resorts, with top chains such as Marriot International Inc. and Hilton Worldwide Holdings Inc. backing new developments on the continent.
There are 104,444 rooms under construction, 13% more than a year earlier and the most in at least four years, a report by Lagos, Nigeria-based W Hospitality Group shows. High-end developments account for more than three-quarters of the pipeline, according to the study covering 54 countries.
“Chains like to enter a market at the top end,” W Hospitality Managing Director Trevor Ward said in an interview. High-net-worth individuals developing hotels for the first time are also driving growth in upscale and luxury projects because “they want bragging rights and they want to be seen at that level,” he said.
High-End Hotels Dominate Africa Development Pipeline
Continent set to see almost 600 new establishments in 2025
Note: Chart shows hotel chain development pipelines in Africa in 2025 by share of more than 104,000 planned rooms
Africa is a burgeoning market for high-end goods and luxury travel driven by strong economic growth, an expanding middle class, increasing consumer-spending power, a rising millionaire population and growing air connectivity. It was the best-performing tourism region in the world in 2024 after the Middle East, with foreign arrivals 7% above pre-pandemic levels, according to the United Nations tourism agency.