In a move to swell the emirate’s supply of three- and four-star hotels, His Excellency Helal Saeed Almarri, director-general of Dubai Department of Tourism and Commerce Marketing (DTCM), announced that eligible hotels will be granted a concession on the standard ten per cent municipality fee, which is levied on a room’s rate for each night of occupancy.
The initiative, which was declared on day two of The Hotel Show, is designed to incentivise hotel owners to generate construction timelines to create three- and four-star hotels in Dubai more quickly.
Regional tourism has high growth potential, according to The World Bank Group, and is especially strong in the GCC region. Moreover, a report by investment bank Alpen Capital reveals that this industry’s growth will increase from $19.2 billion in 2011 to $28.3bn by 2016.
Investors in new hotels will be granted a fee waiver for a period of four years from the date the permit to construct is granted, provided that it is between October 1, 2013 and December 31, 2017.
“In order to achieve our objective of 20 million visitors per year by 2020, we need to both increase the overall stock of hotel rooms and widen the range of options for visitors. In recent years, the number of three- and four-star establishments has increased, but it’s vital that we continue to engineer the growth of this range,” says Almarri.
In line with the new scheme, the incessant potential of the hospitality and leisure industries to increase tourism in Dubai was re-emphasised by renowned architect and luxury hotel designer, Steven Miller, who commented on the region’s ever-expanding architecture industry in his ‘Designs of the future’ keynote speech.
The architect’s insights are aligned with the recent market statistics, which reveal that the hospitality sector in the Middle East region will contribute 19 per cent to the projected $9.2bn interior design market’s value by the end of 2013, increasing it from $1.3bn in 2012 to $1.62bn this year (INDEX 2013).
The Hotel Show is the largest full-spectrum hospitality supplies event in the Mena region, now in its 14th year in 2013. It showcases luxury and contemporary interiors, essential equipments and the latest technology and trends in a market that is home to some of the best five-star hotels.
Monday, September 30- 2013 @ 0:00 UAE local time (GMT+4) Replication or redistribution in whole or in part is expressly prohibited without the prior written consent of Mediaquest FZ LLC.