By Staff writer
Latest STR data reveals 3.7% rise in occupancy in UAE capital as demand exceeds supply increases
Occupancy rates in Abu Dhabi hotels is forecast to rise during July but rates are continuing to fall, according to preliminary data released by analysts STR.
Based on daily data from July, Abu Dhabi reported an increase in hotel supply of 4.1 percent against a rise in demand of nearly double that (7.9 percent).
The latest STR data also revealed a 3.7 percent increase in occupancy in July to 61.6 percent.
But hotels in the UAE capital are forecast to see a 5.4 percent decrease in average daily rate (ADR) to AED368.43 and a 1.9 percent drop in revenue per available room (RevPAR) to AED227.07.
STR said the Ramadan calendar shift between 2015 and 2016 led to significant variance in Abu Dhabi’s monthly performance figures for June and July.
It said that when shifting the comparison to the two Ramadan periods, 2016 resulted in a 14.3 percent decrease in RevPAR. That decrease was driven equally by lower occupancy levels and lower ADR.