Dubai, UAE – Main international actual property consultancy agency, Knight Frank, reviews an thrilling outlook for the United Arab Emirates’ dynamic hospitality sector, characterised by a further 9,200 rooms anticipated by the tip of 2023. In response to Knight Frank’s newest evaluation, by the tip of 2023, roughly 154,000 rooms might be working in Dubai’s hospitality sector, marking a considerable 6.4% enhance from the yr, 2022.
The UAE’s resort stock continues to broaden, serving to to help metropolis’s akin to Dubai, which has emerged not solely because the world’s hottest vacation spot for 2 years operating in accordance with Journey Advisor, however the emirate has additionally earned the accolade of getting the world’s highest occupancy ranges throughout the first half of 2023 at 78%. Faisal Durrani, Associate – Head of Analysis, MENA
Main trade giants are driving this development, with Accor securing the highest spot, affords 71,820 present rooms and has 49,510 extra within the pipeline anticipated for completion by 2030. Following intently are Marriott Worldwide, with 63,790 present rooms and 52,790 deliberate; IHG Inns & Resorts, with 35,140 present rooms and 22,120 in growth; Hilton Worldwide, with 33,450 rooms and 39,860 upcoming; Radisson Inns, providing 22,830 rooms and planning a further 11,651; and Rotana Inns, with 16,976 rooms and 10,807 in growth.
Dubai continues to dominate the UAE’s hospitality panorama, with 70% of the nation’s upcoming provide concentrated within the metropolis. In H1 2023, Dubai welcomed 8.6 million vacationers, marking a major 20% enhance from 2022. This surge underscores Dubai’s enduring enchantment as a worldwide vacationer hotspot. Internationally branded lodges represent a 67% of Dubai’s present provide, highlighting town’s international enchantment. A considerable 70% of the under-construction and remaining planning provide in Dubai belongs to the luxurious and higher upscale resort segments, catering to discerning travellers. Turab Saleem, Associate, Head of Hospitality, Tourism and Leisure Advisory
With an present provide of 207,200 resort rooms, a further 24,500 rooms in varied phases of growth, additional solidifying its international management within the hospitality sector.
In response to STR information cited by Knight Frank, the Dubai market as an entire recorded a 0.8% enhance in RevPAR in comparison with July 2022, pushed by a 6.8% enhance in occupancy however held again from additional development by a 5.6% lower in ADR.
Class information from HOTSTATS for July 2023 confirmed most segments recorded minor ADR declines aside from luxurious metropolis centre lodges round Downtown, Enterprise Bay, and SZR which recorded a 2% enhance. Luxurious seashore resorts recorded an identical enhance in occupancy as different segments however with a bigger ADR lower of 13%.
About Knight Frank LLP
Knight Frank LLP is the main impartial international property consultancy, serving as our shoppers’ companions in property for 125 years. Headquartered in London, Knight Frank has greater than 20,000 folks working from 488 workplaces throughout 57 territories. The Group advises shoppers starting from particular person house owners and consumers to main builders, buyers and company tenants. For additional details about the Agency, please go to knightfrank.com.