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Sun 28 Oct 2012 10:33 AM

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UAE hotels post negative results in Sept

Latest STR Global data shows declines in occupancy, average daily rates, RevPAR

UAE hotels post negative results in Sept
(Photo for illustrative purposes only)

Hotels in the UAE posted negative results in September with occupancy, average daily rates and revenues all down on the year-earlier figure.

According to latest data compiled by STR Global, hotels in the UAE saw occupancy levels dip 2.4 percent to 66.6 percent last month.

Average daily rates (ADR) were also down by two percent while revenue per available room (RevPAR) declined 4.4 percent, STR Global said.

By contrast, hotels in Saudi Arabia posted double digit increases in occupancy and RevPAR.

Occupancy levels in September averaged 50.8 percent, up 20.6 percent while RevPAR rose 19.2 percent but ADR fell by 1.1 percent.

According to STR Global, the Middle East and Africa region’s occupancy increased 5.4 percent to 60.7 percent during the month, its ADR fell 1.7 percent to $137.76 and its RevPAR grew by 3.6 percent to $83.63.

Cairo posted the biggest increase in occupancy in September - up 24.6 percent to 52.3 percent, followed by Muscat where levels rose 20.8 percent to 59.0 percent.

Amman, Jordan, reported the only double-digit ADR increase, rising 10.1 percent to $156.07.

Beirut posted the largest decrease in all three key performance metrics. The market's occupancy fell 40.1 percent to 42.7 percent, its ADR was down 27.5 percent to $166.36 and its RevPAR decreased 56.6 percent to$71.11.

“Beirut, Lebanon, experienced two very different sides to this year," said Elizabeth Randall Winkle, managing director of STR Global.

“The first five months saw double-digit RevPAR increases and the last four months saw falling RevPAR results. September, unfortunately, reported the highest declines so far with RevPAR falling 56.5 percent compared to September 2011.

"Recent events and unrests will provide further challenges to the city’s residents and guests”.

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