Mostly Negative Performance Due to Supply Growth for Jeddah Hotels for January 2018
While hotel occupancy rose 0.3% to 50.6% in January in Jeddah, Saudi Arabia, according to preliminary STR data, the market saw ADR drop 2.4% to 732.33 Saudi Arabian riyals ($195.29) and RevPAR decline 2.1% to 370.33 riyals ($98.75).
STR’s preliminary January 2018 data for hotels in Jeddah, Saudi Arabia, indicates mostly negative performance due to supply growth.
Based on daily data from January, Jeddah reported the following in year-over-year comparisons:
- Supply: +11.7%
- Demand: +12.1%
- Occupancy: +0.3% to 50.6%
- Average daily rate (ADR): -2.4% to SAR732.33
- Revenue per available room (RevPAR): -2.1% to SAR370.33.
STR analysts note that significant supply growth and RevPAR decreases have been fairly consistent in Jeddah during the last three years. However, the month’s high demand growth figure was boosted by the school holiday during the middle of January.
STR will release full January results later this month. The January edition of STR’s market forecast is now available.
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