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Hotel occupancy in Dubai is forecast to increase further and reach as much as 71 percent this year on the back of easing travel restrictions, according to the latest market forecast by Colliers.
Properties in Dubai Marina or Jumeirah Beach Residence are likely to register the highest occupancy rate at 71 percent, showing a 38 percent improvement from a year ago.
Hotels in Palm Jumeirah as well as those in Dubai Creek/Festival City and Sheikh Zayed Road/Dubai International Financial Centre, will enjoy better occupancy rates as well, at 68 percent, 64 percent and 62 percent, respectively.
“As we move through 2021, we begin to observe several markets build on recovery began in Q4 2020,” Colliers said.
The average occupancy rate of hotels across Dubai stood at 59.7 percent in April 2021, slightly lower than March but a significant improvement from pandemic lows, according to STR.
As for room rates and revenues, another indicator of the hospitality industry’s profitability, STR said the figures for April look promising. The average daily rate (ADR) was estimated to be a little over 576 dirhams ($156), while the revenue per available room (RevPAR) reached 343.94 dirhams, the highest since the beginning of the year.
Outside Dubai, hotels in Abu Dhabi Beach will see occupancy levels average around 54 percent, up by 14 percent from the previous year.
In Ras Al Khaimah City and Ras Al Khaimah Beach, hotels will be 78 percent and 58 percent full, respectively.
Properties in Sharjah and Fujairah will see more than half of their rooms filled up this year, at 58 percent and 54 percent, respectively.
(Writing by Cleofe Maceda; editing by Seban Scaria)
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