MEA region posts positive performance: STR Global

The Middle East/Africa region reported positive performance year-to-date for June 2014, according to data compiled by STR Global. The region reported a one percent increase in occupancy to 64.6%, a 3.5% increase in average daily rate to US$169.22 and a 4.5% increase in revenue per available room to US$109.24.

“While there has not been a lot of movement in occupancy, rate has increased by 5.4% when measured in a constant-currency basis in US dollars, resulting in RevPAR growth of 6.4% for the first six months of the year,” said Elizabeth Winkle, managing director of STR Global. “We are seeing rate growth for all three sub-regions, including Middle East (+2.4%), Northern Africa (+2%) and Southern Africa (+7.2%).”

Jordan and UAE have been the standout countries so far this year. Coming from a low base, Jordan (+11.4%) and Bahrain (+18.3%) both recorded double-digit RevPAR increases for the first half of the year. In June 2014, the region’s occupancy fell 0.6% to 61.3%; its ADR increased three percent to US$142.80; and its RevPAR rose 2.4% to US$87.57.

Highlights among the Middle East/Africa region’s key markets for June 2014 include Doha (+17.4% to 75.2%), and Beirut (+17.2% to 63.7%), reported the largest occupancy increases. Nairobi posted the largest occupancy decrease, falling 11.6% to 57.7%.

Two markets achieved double-digit ADR increases which are Jeddah (+12% to US$282.62), and Manama (+11.9% to US$212.73). Riyadh fell 6.9% in ADR to US$221.47, posting the largest decrease.

Four markets experienced RevPAR growth of more than 15%: Manama (+27.5% to US$123.12); Beirut (+20.4% to US$105.37); Cape Town (+16% to US$51.68); and Doha (+15.6% to US$130.05). Nairobi fell 13% to US$85.11 in RevPAR, posting the largest decrease.