Abu Dhabi experienced a slow December last year when hotel occupancy levels, average-daily-rate (ADR) and revenue-per-available room (RevPAR) dipped in comparison to the same period in 2014, reports showed.

Despite increases in supply (over 4.4 per cent) and demand (over 1.5 per cent), occupancy rates slipped 2.8 per cent to 76 per cent while ADR declined 6.8 per cent to Dh546.18. RevPAR dropped significantly by 9.4 per cent to Dh415.35 compared to 2014, when it grew by 19.8 per cent, according to a report by STR Global, a leading provider of global hotel data.

Year to date, demand has outpaced supply in the market, although supply has outpaced demand over the last two months. Considering Abu Dhabi’s exceptional demand growth rates (which over a three-year period peaked at 33.4 per cent in August 2013), STR Global analysts expected this trend would eventually wear off after supply caught up with demand. – TradeArabia News Service