Dubai makes room for construction of new hotels
A new report labeled Dubai as the busiest city for hotel construction in the Middle East with over 100,000 rooms in 2017.
“164 hotels and 108,581 hotel rooms are currently in the vision, planning, construction, and pre-opening stages across the emirate,” said the report by TOPHOTEL PROJECTS, a database providing an overview of hotel projects all over the world.
The report noted that most of these planned properties are forecast to open before 2020, with 2018 expected to be a busy year.
The brands identified by the report as having the most hotels currently in the construction pipeline across Dubai are: aloft Hotels (Marriott International), Rotana Hotels & Resorts (Rotana Hotel Management) and Millennium Hotel (Millennium & Copthorne Hotels Plc).
Dubai hotels maintain good occupancy
A study by Deloitte, a multinational professional services firm, on the hospitality industry in Dubai revealed that hotel occupancy in Dubai has remained stable at 76 percent from November 2015 to November 2016.
The study added that Dubai is likely to maintain its position as one of the world’s top tourism markets in 2017, both in terms of visitor numbers and hospitality performance metrics. “We predict that market wide hotel occupancy in Dubai in 2017 will be approximately 75 per cent, still among the highest in the world,” it said.
It added that between 2017 and 2020, around 23 per cent (4,000 rooms) of hotel rooms developed in Dubai will be in the mid-market sectors, as developers look to capitalise on this market which has been undersupplied historically.
Carlson Rezidor Hotel Group
In addition to the mid market establishments, more upper scale hotels are being developed as well.
TOPHOTEL PROJECTS said that Carlson Rezidor Hotel Group currently has nine hotels under construction in Dubai with a total of almost 2,500 rooms. “This growth is spread across the Radisson Blu, Park Inn by Radisson and Radisson RED brands,” it said.
Mark Willis, Area Senior Vice President, Middle East, Turkey and Africa at Carlson Rezidor Hotel Group, commented: “We have a well-established presence in Europe with Radisson Blu as the largest upper upscale hotel brand and we are very pleased with our strong growth across the Middle East, where we aim to have 100 hotels in operation by 2020.”
“2017 is a significant year for the Group as we have over twenty hotel openings across the region in key destinations such as Dubai”, Willis continued. “Dubai has a strong international appeal and this can be attributed to the Emirate’s vision, diversification and dynamic response to various travel needs, whether that be business, hosting world class events and exhibitions or providing leading leisure attractions from beach resorts, theme parks to shopping.”