Quotes: MENA   Enter Symbol: NewsLetter: Search: advanced

Dubai leads Middle East and Africa in hospitality  Join our daily free Newsletter

MENAFN - Khaleej Times - 19/01/2014
No. of Ratings : 0
Add to Mixx!

(MENAFN - Khaleej Times) The hospitality industry in Dubai will stay ahead in the region with record developments are in the pipeline as strong rebound in tourism pushed the occupancy levels and average room rates on higher sides, according to a latest report and industry experts

The emirate reported the largest number of rooms under construction [10,970] in Middle East and Africa while in Abu Dhabi 3,036 rooms in key developments are in the pipeline, says STR Global Construction Pipeline report for December

In all, more than 14,000 rooms in Dubai and Abu Dhabi are in active pipeline data, which includes projects in the construction, final planning and planning stages, but does not include projects in the pre-planning stage. Only Saudi Arabia stays ahead with 15,300 rooms in the pipeline including 6,927 in Makkah, 5,804 in Riyadh and 2,569 in Jeddah

The latest STR Global Construction Pipeline report says the Middle East and Africa hotel development pipeline comprises 498 hotels totalling 120,119 rooms. The UAE and Saudi Arabia lead the region with 29,306 rooms under construction in various projects while Doha [4,944] is the only other notable city which reported more than 2,000 rooms in the active development pipeline until December

Speaking to Khaleej Times, senior officials in hospitality industry term the development a positive indicator for the sector. They say good times ahead for the industry and occupancy levels, profitability and average room rates have picked up momentum since tourism has staged a strong rebound in 2013

"Year 2013 set a new record for Al Bustan Centre and Residence as we achieved year round occupancy of 85 per cent which is 12 per cent more than 2012. The demand was very high even during the low period, this healthy environment is expected to continue into 2014 for which we have already budgeted almost 30 per cent above 2013," Moussa El Hayek, Chief Operating Officer of Al Bustan Centre & Residence, told Khaleej Times

About new trends going forward as a result of Expo 2020 win, he said, "We started to witness a new trend as a result of the Expo 2020 long time before it was announced as the indication were in Dubai's favour.

"The trend is positive especially from travel trade segment. Also there is demand for corporate clients as many projects are expected to take place from now until the next six years. Our average room rate (ARR) is supposed to fluctuate from Dh700 to Dh1,000," he said, adding that occupancy levels during December 20, 2013 to January 2, 2014 was 100 per cent and the ARR almost hit Dh850

"We are expecting that year 2014 will perform even better than year 2013. All indications are showing that year 2014 will be another achievement for Dubai in general and Al Bustan Centre and Residence in particular. We are focusing on our feeder markets Like GCC and CIS markets and the local market as well, as these markets are the main pillars for generating revenue.

Echoed the similar views, general manager of Ramada Downtown Samir Arora said the market is expected to be stable and optimistic, given the general mood and stronger economy

"We would like to tap the high-end Indian and CIS markets given their potential. Etihad Airways has just added 14 new flights to India from Abu Dhabi, which only affirms their importance.

"To-date, our hotel's performance for year 2013 has been very good and we had a busy operation throughout the year. As compared to last year, we witnessed a fair increase in occupancy, which is currently in the upper 80 per cent on average, but rates achieved were much higher," he added

About the source markets, he said the guests from GCC lead by Saudi Arabia, Kuwait and Oman traditionally hold the key for the hotel. "We also have European markets who patronize our hotel due to its key location. We have also added North America, some countries from Africa last year," he said

To a question about Expo 2020 win and its impact on ARR, he said activity related to Expo 2020 will only initiate in the next couple of years and won't see an immediate effect in 2014

"Dubai as a destination will continue to evolve due to Emirates airlines which continues to add new aircrafts to their fleet every month and fly to newer destinations. Given our hotel's location, we are able to achieve a premium of 20 to 30 per cent extra on our rates compared to other locations within Dubai," Arora concluded


Khaleej Times

  MENA News Headlines
 Oct 22 2016 - Lebanon's industrial exports fall 15%MENAFN
(MENAFN) The Lebanese Industry Ministry said that industrial exports in the January-August period fell to USD1.713b, a 14.7% drop from the same period of 2015.Industry Minister stated: "There are ...

 Oct 22 2016 - Jordan to get USD378m fund for green projectsMENAFN
(MENAFN) Green investments in Jordan by the European Bank for Reconstruction and Development (EBRD) is being supported by the Green Climate Fund.According to an EBRD statement, this is the fund"s ...

 Oct 22 2016 - Egypt's exports to UAE jump 149.1%MENAFN
(MENAFN) In its bulletin on state's foreign trade, Egyptian Central Agency for Public Mobilization and Statistics (CAPMAS) stated that Egypt's exports to UAE registered USD1.1b in January-June 2016 ...

 Oct 22 2016 - Reckless driving: Motorist fined QR10,000Gulf Times
(MENAFN - Gulf Times) A Doha Criminal Court has ordered a young motorist to pay a fine of QR10,000 for causing damage to another vehicle while driving recklessly on a public road. Local Arabic ...

 Oct 22 2016 - UCI World Championship raises profile of cyclingGulf Times
(MENAFN - Gulf Times) The recently-concluded UCI Road World Championships Doha 2016 has raised the profile of cycling in the country, Qatar Chain Reaction (QCR) patron Farhan al-Sayed has said. ...

 Oct 22 2016 - Qatar- Business growth: Ministry issues social media tips for SMEsGulf Times
(MENAFN - Gulf Times) The Ministry of Economy and Commerce (MEC) on Friday issued a series of tips for entrepreneurs and owners of small and medium enterprises (SMEs) about the role of social media ...

 Oct 22 2016 - FM calls for collective action to protect civilians in SyriaGulf Times
(MENAFN - Gulf Times) HE the Foreign Minister Sheikh Mohamed bin Abdulrahman al-Thani has called for collective international action to protect civilians in Syria, who are under constant bombardment ...

 Oct 22 2016 - Qatar- Court reviewing murder caseGulf Times
(MENAFN - Gulf Times) A Doha Criminal Court is reviewing the case of an expatriate man accused of killing his friend, local daily Arrayah reported. According to the charge-sheet, the accused stabbed ...

 Oct 22 2016 - QC provides aid in AleppoGulf Times
(MENAFN - Gulf Times) Qatar Charity has said around 2,000,000 people have benefited from its relief projects, carried out over the past six months in Aleppo (Syria) and its countryside. The relief ...

 Oct 22 2016 - MEC holds seminar to raise awareness about breast cancerGulf Times
(MENAFN - Gulf Times) The Ministry of Economy and Commerce (MEC), as part of its community programmes, organised a seminar to raise awareness about breast cancer under the theme 'Early detection: ...





Middle East North Africa - Financial Network

MENAFN News Market Data Countries Tools Section  

Middle East North Africa - Financial Network

Main News
News By Industry
News By Country

Search News
Market Indices
Quotes & Charts

Global Indices
Arab Indices


Oil & Energy

Currencies Cross Rates
Currencies Updates
Currency Converter

USA Stocks
Arab Stocks

Saudi Arabia 

Economic Calendar
Financial Glossary

Financial Calculators

RSS Feeds [XML]

Corporate Monitor


Real Estate
Submit Your Property

Arab Research
Buy a Research

Press Releases
Submit your PR

Join Newsletters

© 2014 menafn.com All Rights Reserved.  Terms of Service | Privacy Policy | Contact Us | Advertise | About MENAFN | Career Opportunities | Feedback | Help