UAE hospitality sector posts robust growth in H1, says expert
ABU DHABI, July 31, 2024
The hospitality sector in UAE continues to demonstrate a strong level of visitations, leading to robust performance durig the first half of the year, according to CBRE Middle East, a leader in commercial real estate.
The average occupancy rate across the country registered an increase of 1.7 percentage points, where most of locations have surpassed their 2023 occupancy levels, it stated.
Over this period, the emirates' average daily rate increased by 5.8%, driven by the rising ADR levels in Abu Dhabi, Ras Al Khaimah, Dubai, Sharjah, Ajman, and Fujairah, which recorded growth rates of 12.3%, 10.7%, 4.6%, 3.9%, 1.7%, and 0.6%, respectively compared to the previous year.
"Accordingly, we have seen RevPARs within these locations register respective increases of 24.0%, 10.5%, 4.7%, 11.5%, 2.9%, and 15.0% over the same period," said Taimur Khan, the Head of Research Mena in Dubai.
"Although performance was expected to soften during the summer, the market continued to show resilience. The second half of the year is anticipated to witness significant growth in key performance indicators (KPIs) for the sector, driven by major upcoming events that are expected to continue driving the strong visitation levels," he added.-TradeArabia News Service
