Saturday, 22 February 2014

More supply enters Dubai hotel market

This year a particular decline of tourists is being noticed in hotels during January, a survey indicates. The STR Global preliminary data indicates its total percentage 0.4%. Elizabeth Winkle, Managing Director of STR Global, said in a statement, “the slight drop in occupancy is a result of growing demand not being able to absorb the additional room supply coming into the market.” The drift will might end until the end of this year announced by the Yousaf Wahbah Head of Transaction Real Estate for the Middle East and North Africa at Ernst and Young (EY).

Dubai hotel zone is not predictable to witness a proper turn down in its key performance indicators; rather a trivial alleviation to possess is expected because of next supply. Overall Dubai Hotels are expecting to obtain relatively alike tenure and rates compared to 2013. This year it is expected that hotels will remain open in emirates and tourists crowd will increase so more chance to go for a Dhow Cruise Dinner Dubai or for a remember night at Overnight Desert Safari Dubai. Rashid Aboobacker, Senior Consultant at TRI Hospitality Consulting, told Gulf News that he expects occupancy to have climbed between two and three per cent in January this year compared to the corresponding time a year ago.

“We don’t think incoming supply is going to have a huge impact this year. We don’t think there is significant supply coming into the market this year,” Aboobacker said, adding that more supply is likely to enter the market next year. However, occupancy level was low during preceding month average daily rate was up 11.7 per cent to Dh1, 177.74, as per STR Global preliminary data. The increase of ADR is the maximum increase during January in 2008 told by Winkle. Resulting from this income per available reached 11.2% Dh1,031.10. This also boosted travelling to Desert Safari Dubai and other other Sightseeing places.


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