Chattanooga adding hundreds of hotel rooms

CHATTANOOGA, Tenn. (AP) -- The Chattanooga market will add hundreds of hotel rooms in the coming year, following four years of booming revenues for its hotel industry.

The Chattanooga Times Free Press reports at least 728 hotel rooms under construction are to be added this year and next, citing Smith Travel Research.

That extra supply comes amid expectations for a busy summer tourism season but on the heels of a drop in demand so far this year.

According to Smith Travel Research, Chattanooga's hotel occupancy rates in the first three months of this year dropped 10.4 percent from the same period a year ago.

The summer tourism season kicks off when the USA Cycling Professional National Championships roll into town Memorial Day weekend. The event is expected to draw about 25,000 spectators.

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