MEA hotels reports positive growth: STR Global

The last month of April has worked out positively for most Middle East and Africa hotels. As per recent reports from STR Global, the Middle East/Africa region reported a two percent increase in occupancy to 67%, a 7.2% increase in average daily rate to US$178.93 and a 9.4% increase in revenue per available room to US$119.89.

“The Middle East has consistently been performing well in the recent months, with exception of the summer months, which are impacted by Ramadan”, said Elizabeth Winkle, managing director of STR Global. “The sub-region has one of the highest pipelines with 40% room growth of existing supply. Saudi Arabia and UAE are emerging as stars in the region, as investors are showing increased interest in both. There is a lot of interest and optimism in the region”.

Highlights among the Middle East/Africa region’s key markets include Manama hotels which posted an increase of 17.9% in occupancy to 60.1%, reporting the largest increase. Abu Dhabi followed with a 13.3% showing an increase to 79.2%. Beirut witnessed a sip to -16.1% to 47.6 percent, and Lagos-13.8% to 59.4% reporting the largest occupancy decreases.

Three markets achieved ADR growth of more than 10% were Muscat with 14% to US$270.73, Dubai with 10.6% to US$283.65 and Jeddah with 10.4% to US$248.88. However, Sandton and surrounding areas, fell 10.8% in ADR to US$105.63, reporting the only double-digit decrease.

Five markets experienced double-digit RevPAR growth which was Muscat with 23.5% to US$223.16, Abu Dhabi with 17.2% to US$123.30, Amman with 13.5% to US$120.88, Dubai with 12.8% to US$239.64 and Jeddah with 11.3% to US$195.96. Beirut witnessed a dip with -19.1% to US$69.72 and Lagos -15% percent to US$161.96 posted the largest RevPAR decreases.