Statistics from EY show that occupancy rates and average daily rates both fell in nearby Dubai.
Hotel occupancy increased by 8.9 percent in Abu Dhabi in October compared to the same time period the year before, according to new statistics from EY.
According to EY’s October 2017 MENA hotel benchmark survey report, the average daily rate in Abu Dhabi rose to $128 in October 2017, compared to $125 in October 2016, which resulted in a 14.1 percent increase in revenue per available room (RevPAR) compared to the same time last year.
The report notes that the increases in occupancy in Abu Dhabi can be attributed to a number of events that took place during the same time period, such as the Abu Dhabi cruise season and October’s World Skills Competition.
In neighboring Dubai, hotels saw a slight 2.4 percent decrease in occupancy when compared to the same time period last year, as well as a 6 percent fall in ADR. This, in turn, caused an 8.7 percent decrease in RevPAR from $236 in October 2016 to $215 in October 2017, with EY noting that the increased number of hotels in Dubai has created a competitive market space.
In Saudi Arabia, cities including Makkah, Riyadh and Madinah all saw increases in occupancy of 13.9 percent, 5.9 percent and 1.8 percent, respectively. Jeddah, however, saw a 2.6 percent decrease in occupancy.
The report shows that ADR increased in Jeddah by 7.6 percent, and decreased by 6.9 in Makkah, 9.4 percent in Riyadh and 16.1 percent in in Madinah. In regards to RevPAR, Jeddah experienced a 2.7 percent increase, while Makkah saw a 33.2 percent increase, compared to a 0.6 percent decline in Riyadh and a 12.6 percent decrease in Madinah.