While hotels struggled through the pandemic, the undersupply of housing persisted. Perhaps not surprisingly then, as more hotel conversions move forward, they are often for housing. 

Sixty percent of the 187 hotel or motel conversions that members of the National Association of Realtors reported they were engaged in were for multifamily housing, workforce housing, housing for veterans or housing for health care workers, according to a NAR report. In addition, 12% of the hotel and motel conversions were for homeless shelters, 11% were for senior housing or assisted living and 8% were for student housing.

There were some non-residential uses represented among the conversions. Six percent of hotel and motel conversions were being converted into health facilities such as hospitals or quarantine facilities. There were also conversions into retail establishments, industrial use or converted into ranch land or for other types of development.