By Issac John www.khaleejtimes.com
Dubai’s hospitality market has rapidly absorbed this influx of new supply and continued to perform exceptionally well, as RevPAR has only declined by 0.3 per cent, according to Ernst & Young’s Middle East Hotel Benchmark survey.
Dubai’s new hotel supply in 2013 included several major five-star hotel openings such as the Ocean View Hotel, the Ritz Carlton extension on Jumeirah Beach, Sofitel Palm Jumeirah, Anantara Plam Jumeirah, Oberoi, and Conrad.
In November, Dubai’s overall average occupancy decreased by approximately 5.1 per cent compared to November 2012, however, average daily rate (ADR) increased by 5.6 per cent. Dubai’s hospitality market performance improved month over month in November, with ADR increasing from $330 in October 2013 to $333 in November 2013, which was coupled with an increase in average occupancy of three per cent during the same period.
According to STR Global, Dubai’s ADR growth of 9.9 per cent to $290.68 in November far outpaced the regional average growth rate. STR said that the UAE, which is already among the top five countries in the world for new hotel openings over the past five years, saw positive growth throughout the first 11 months of 2013. The country has the longest pipeline of rooms under construction with an additional 32,107 rooms in the offing.
The EY Hotel Benchmark survey noted that Abu Dhabi increased its supply of branded four and five star hotels in 2013 by introducing approximately 1,700 new branded hotel rooms primarily due from the Dusit Thani, Rosewood, St. Regis Nation Towers as well as some others. More info
