Dubai hotel occupancy remains flat in October
STR Global preliminary data shows supply outpaced demand last month
Occupancy rates at Dubai hotels remained flat in October as new supply outpaced demand, according to latest preliminary data published by STR Global.
New statistics showed that supply grew by 7.4% last month while the emirate saw a 6.7 percent growth in demand.
Hotels in Dubai saw occupancy fall marginally by 0.7% to 75.3% but other key indicators remained positive.
STR Global said hotels posted a 7.4 increase in average daily rate to AED1,096.82 while revenue per available room rose 6.6% rise to AED899.36.
“Occupancy growth for Dubai remained flat as expected due to supply outpacing demand this month. In spite of this slight inbalance, Dubai recorded the highest ADR since the economic downturn in 2008, maintaining the positive trend in 2013 for this measure”, said Elizabeth Winkle, managing director of STR Global.
Last week, it was announced that Dubai's hotels welcomed more than 7.9 million visitors between January and September, a 9.8% year-on-year increase.
Hoteliers and hotel apartment operators experienced significant growth in revenues, with total revenues for the first nine months of the year up by 17.1% reaching AED15.33bn ($4.16bn).
The latest visitor number results, released by Dubai's Department of Tourism and Commerce Marketing (DTCM) on the sidelines of World Travel Market in London, showed increases across hotel establishment guests, room occupancy levels, hotel and hotel apartment revenues and average length of stay.
Hotel room occupancy averaged 78.6% over the nine month period, up 3.1% compared to the same period in 2012 and hotel apartment occupancy also saw steady growth, up 7.3% to 81 percent, the figures showed.