Hotel performance dips in MEA: STR Global
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The recent hotel performance report for the Middle East and Africa region reported negative results in three key performance metrics for August 2015. The report was compiled by STR Global.
As per the statistics, compared to August 2014, the MEA region reported a 1.1% decrease in occupancy to 62.9%, a 1.6% drop in average daily rate to US$134.53 and a 2.7% decline in revenue per available room to US$84.57.
Kuwait reported negative results in three key performance metrics. Occupancy declined 7.8% to 39.6%; ADR was down 6.0% to KWD65.75 and RevPAR decreased 13.3% to KWD26.04. August supply growth was 6.2% in the country outpaced demand at -2.1%. Oman also witnessed a decreases in the three key performance measurements with a 3.7% decline in occupancy to 47.5%, a 6.9% drop in ADR to OMR65.19 and a 10.4% decrease in RevPAR to OMR30.94.
According to STR Global analysts, months during and post-Ramadan have produced weak performance results in Oman during the last five years. Over the same years, performance has improved in September and October.
South Africa reported nearly flat occupancy performance at 0.5% to 62.7% and increases in ADR at 4.3% to ZAR994.53. RevPAR was at 4.8% to ZAR623.76. The lack of significant change in occupancy came as supply was 0.9% and demand was at 1.3% saw similar movement in August.
Amman also saw declines in the three key performance metrics with occupancy at -7.1% to 63.4%, ADR at -5.5% to JOD111.49 and RevPAR at -12.2% to JOD70.71. Year to date in Amman, supply growth was 2.7% has significantly outperformed demand at -13.9%.
Cape Town experienced a two percent decrease in occupancy to 60% but increases in ADR was at 6.2% to ZAR1,138.41 and RevPAR at 4.1% to ZAR682.90. The decline in occupancy can be attributed to year-to-date supply at 2.0% outweighing demand at -3.7%.
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