New research shows 543 active hospitality project; four new development completed in August
The total value of active hospitality projects in the UAE reached AED262.7 billion ($71.6 billion) at the beginning of September, according to analysts BNC Network.
The 543 hospitality sector projects constitutes 6 percent of all active projects in the UAE's urban construction sector and in dollar terms these projects account for 14 percent of the total estimated value, BNC said in a statement.
It added that three hospitality projects with a combined estimated value of $194.5 million moved to construction from other stages during August.
The largest hospitality project in dollar terms to have moved to construction was Portofino Hotel located in Dubai's Europe Main Island.
“The hospitality sector is on a roll as the countdown for Expo 2020 is closing in to three years within which all these projects will have to be ready for the massive influx of visitors,” said Avin Gidwani, CEO of BNC Network.
“According to Dubai Government’s stated projections, the emirate will need to add 40,000 hotel rooms in addition to the existing inventory of slightly more than 100,000 guest rooms and hotel apartments."
He added: “Tourism and entertainment sectors are major contributor to Dubai’s economy and remain a major focus in the government’s economic diversification plan.
“In order to meet the growing demand, most project owners, developers are looking at completing building their projects before October 2020 when Dubai expects to receive 20 million hotel guests as well as 25 million visitors to the Expo site."
The research showed that four hospitality projects with a combined estimated value of $527.2 million were completed during August.