Leisure and Hospitality Building Construction Market Size Anticipated to Reach USD 550 Billion by 2035 with 3.0% CAGR from 2025 to 2035, Driven by Sustainable Practices and Rising Travel Demand

The global Leisure and Hospitality Building Construction Market was valued at USD 394.4 billion in 2024 and is expected to reach USD 550 billion by 2035, growing at a CAGR of 3.0% from 2025 to 2035. This market includes construction activities for hotels, resorts, leisure centers, entertainment venues, and other hospitality-related buildings.

Increasing travel and tourism activities, rising disposable incomes, and growing demand for luxury accommodations are driving investments in the leisure and hospitality sector. Sustainable building practices and eco-friendly designs are becoming essential, aligning with consumer preferences and regulatory requirements. Technological advancements in construction, including smart building systems and energy-efficient materials, further contribute to market growth.

Market Drivers

Several factors are driving the growth of the leisure and hospitality building construction market. Rising travel and tourism globally have increased demand for hotels, resorts, and entertainment venues. Sustainable and eco-friendly construction practices are gaining traction as governments and organizations focus on environmental responsibility. Urbanization trends and population growth are creating new opportunities for leisure and hospitality projects in emerging regions. Technological advancements, including smart building solutions, energy-efficient materials, and digital construction methods, enhance efficiency and reduce costs, supporting the expansion of the market.

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Market Segmentation

The market is segmented by building type, construction type, end-use, material type, and region.

• Building Type: Includes hotels, resorts, entertainment complexes, and mixed-use leisure facilities.
• Construction Type: Covers new construction, renovation, and expansion projects.
• End Use: Focuses on tourism, hospitality chains, luxury accommodations, and public leisure infrastructure.
• Material Type: Emphasizes sustainable materials, energy-efficient systems, and innovative construction materials that support eco-friendly practices.
• Regional Insights: North America and Europe are mature markets with advanced infrastructure and regulatory frameworks promoting sustainability. Asia-Pacific is experiencing rapid growth due to increasing tourism, urbanization, and investments in leisure infrastructure. South America and MEA are emerging markets with opportunities in luxury hotels, resorts, and eco-tourism projects.

Market Opportunities

The market offers significant opportunities in several areas. Growing demand for sustainable and energy-efficient building materials is encouraging environmentally responsible construction. Integration of smart technology and automated systems enhances operational efficiency and guest experiences. Experiential and innovative design concepts are attracting investments in luxury accommodations and leisure complexes. Eco-tourism and wellness-focused hospitality projects present emerging opportunities. Companies that adopt advanced materials, smart technologies, and sustainable practices are well-positioned to capture market growth.

Competitive Landscape

Key players in the market include Clark Construction Group, Fluor Corporation, Whiting-Turner Contracting Company, McCarthy Building Companies, Balfour Beatty, Gilbane Building Company, Walsh Group, Skanska, Bechtel, Kiewit Corporation, Mortenson, Structure Tone, Hensel Phelps, Turner Construction, and Jacobs Engineering Group. These companies focus on innovation, sustainable construction practices, smart technology integration, and strategic expansion to strengthen their presence in the global leisure and hospitality construction market.

Market Outlook

The Leisure and Hospitality Building Construction Market is expected to grow steadily over the next decade. Rising travel demand, increasing disposable incomes, and the preference for sustainable and technologically advanced buildings are key factors driving growth. Investments in luxury accommodations, resorts, and entertainment facilities are expected to expand across both mature and emerging regions. Adoption of smart building systems and energy-efficient construction practices will continue to shape the market landscape, providing opportunities for innovative and sustainable building solutions.

The Leisure and Hospitality Building Construction Market is poised for consistent growth, driven by rising tourism, sustainable practices, and technological advancements in construction. Companies focusing on eco-friendly materials, smart building integration, and innovative design strategies are well-positioned to capitalize on the growing demand for leisure and hospitality infrastructure globally.

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Table of Contents 

SECTION I: EXECUTIVE SUMMARY AND KEY HIGHLIGHTS 

SECTION II: SCOPING, METHODOLOGY AND MARKET STRUCTURE 

SECTION III: QUALITATIVE ANALYSIS 

SECTION IV: QUANTITATIVE ANALYSIS 

SECTION V: COMPETITIVE ANALYSIS ........ 

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