Dubai’s Hotels Report Sharp RevPAR Decline for July 2017
Hotels in Dubai, United Arab Emirates, reported negative year-over-year performance in July 2017, according to preliminary STR data. Occupancy decreased 3.6% to 65.7%, ADR dropped 11.5% to 471.25 Emirati dirhams ($128.30) and RevPAR fell 14.7% to 309.76 Emirati dirhams ($84.31).
STR’s preliminary July 2017 data for Dubai, United Arab Emirates, indicates steep performance declines consistent with the year-to-year shift in Ramadan dates.
Based on daily data from July, Dubai reported the following in year-over-year comparisons:
- Supply: +5.6%
- Demand: +1.8%
- Occupancy: -3.6% to 65.7%
- Average daily rate (ADR): -11.5% to AED471.25
- Revenue per available room (RevPAR): -14.7% to AED309.76
Dubai’s hotel performance continues to be affected by supply expansion. Additionally, STR analysts note that July performance was affected by the Ramadan calendar shift, with the Eid al-Fitr holiday in late June this year versus early July last year. However, Dubai did not experience as severe a downturn as several other Middle Eastern markets during this year’s Ramadan period.
STR will release actual July 2017 results later this month.
STR provides clients from multiple market sectors with premium, global data benchmarking, analytics and marketplace insights. Founded in 1985, STR maintains a presence in 10 countries around the world with a corporate North American headquarters in Hendersonville, Tennessee, and an international headquarters in London, England. For more information, please visit str.com.
Categories: Market Reports