MEA hotels witness a dip in October 2015: STR Global
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Recent research and statistics from STR Global revealed that hotels in both Middle East and Africa reported negative results in three key performance metrics for October 2015.
When compared to October 2014, the Middle East subcontinent reported a 4.6% decrease in occupancy to 67.4%, a 12.3% drop in average daily rate to US$200.66 and a 16.3% decline in revenue per available room to US$135.24. While the Northern Africa and Southern Africa subcontinents experienced a 0.3% decline in occupancy to 62.3%, a 4.9% drop in ADR to US$111.85 and a 4.6% decrease in RevPAR to US$69.70.
Egypt reported decreases across the three key performance metrics: occupancy at -2.9% to 59.2%, ADR at -2.9% to EGP625.72 and RevPAR at -5.7% to EGP370.48. As the hotel industry in Egypt continues its recovery, year-to-date RevPAR is up 31.2%.
Qatar saw a 6.2% decrease in occupancy to 74.1% and a 6.2% decline in RevPAR to QAR515.91. ADR in the country remained flat at QAR695.85. Supply increased by 5.5% for the month. With supply growth above 3.0% for each month since August, occupancy has decreased by at least 5.0% in three straight months.
UAE experienced a 0.7% decrease in occupancy to 78.5% as well as double-digit decreases in ADR at -10.3% to AED753.30 and RevPAR at -10.9% to AED591.31. Supply growth at 5.1% outpaced demand at 4.4% for the month, resulting in the slight dip in occupancy.
Beirut recorded a 9.2% decrease in occupancy to 51.5%, a 6.9% drop in ADR to LBP221,116.01 and a 15.5% decline in RevPAR to LBP113,882.46. Dubai saw occupancy dip 2.5% to 80.0%. The market also reported double-digit decreases in ADR at -11.0% to AED871.96 and RevPAR at -13.2% to AED697.20.
Nairobi experienced a 2.3% drop in occupancy to 56.8%. However, ADR in the market was up 14.2% to KES14,677.82, driving an 11.5% rise in RevPAR to KES8,337.53.
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