Latest STR Global data reveals occupancy rates increase to 87.5%, a new six-year high
Hotels in Dubai are set to post a double digit increase in revenue per available room (RevPAR) in November, according to STR Global’s preliminary data for the emirate.
Latest figures reveal that RevPAR is on course to rise by 11.5 percent for the month, up to AED967.68 ($263.46), while occupancy rates in November rose to the highest level for six years.
STR Global's data also showed increases in supply - up by 6.9 percent - and demand (up 8.8 percent).
Hotels in the emirate have reported a 1.7 percent increase in occupancy to 87.5 percent, the highest November level since 2007.
The hospitality sector also posted a 9.8 percent increase in average daily rate (ADR) to AED1,105.38.
STR Global also predicted that RevPAR is expected to grow by 3.5 percent in 2014, as the hotel sector continues to show strong growth on the back of the recent World Expo 2020 decision.
“Although occupancy achieved the highest levels in November since 2007, ADR remains the dominating force in driving double-digit RevPAR growth for Dubai in this month”, said Elizabeth Winkle, managing director of STR Global.
“Similar patterns are expected for 2014; however, supply growth is expected to dilute occupancy rates, leaving ADR to drive RevPAR growth."
Last month, it was reported that Dubai's hotels welcomed more than 7.9m visitors between January and September, a 9.8 percent year-on-year increase.
Hoteliers and hotel apartment operators experienced significant growth in revenues, with total revenues for the first nine months of the year up by 17.1 percent, reaching AED15.33bn ($4.16bn).
The latest visitor number results, released by Dubai's Department of Tourism and Commerce Marketing (DTCM), showed increases across hotel establishment guests, room occupancy levels, hotel and hotel apartment revenues and average length of stay.
During the first nine months of the year, guest numbers across all hotels and hotel apartments reached 7,941,118.