Hotels going up all over Fargo (Grand Forks, Rugby: bankrupt, construction, shop)

[Bhaalspawn]

Is it just me, or has Fargo seen a huge increase in the amount of hotel development over the past year or two? The town's not near the oil patch, so what's driving it?

[Naelbis]

Fargo gets big name concerts and NDSU plays football at a level that has them on ESPN's radar. That alone is enough to drive it since it means visitors and money from all over the state/US.

[fourwinds]

The whole state has had a big increase in hotel rooms and new hotels have been built all over the state, even in small towns like Bottineau, Rugby, and Harvey away from the oil patch.

Fargo's is not driven by the Fargodome or football. Hotels aren't built for 10-14 nights a year, but for 365. The need for shopping in western ND probably causes a big increase in hotel demand. More people are traveling to Fargo on business too. A hotel that only has weekend business is one that will be bankrupt.

The chains and developers that build these hotels know the demand and where it is coming from.

[f2tornado]

Lots of Canadians go the Grand Forks and Fargo to shop. This also puts pressure on hotel vacancy rates.

[robert999]

Cheap $$ rates driving construction before anticipated rate increase next year due to Feds. They need to be careful & not create ruinous competition with overbuilding.