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English news

27-Oct-2016

Middle East hotels had weak 3Q16

Hotels in the Middle East saw declines in both revenue and occupancy rates in 3Q2016, with average daily rate (ADR) the lowest on record, according to a recent report by STR. The Middle East reported a 1.6% Y-o-Y drop in hotel occupancy to 63.3%. ADR for the quarter was down 9.2% to USD160.40 while revenue per available room (RevPAR) dropped 7.7% to USD101.51. The region also registered a decline Q-o-Q. ADR for the month was down 5.9% to USD177.83 while RevPAR dropped 7.5% to USD118.75, pressured by a 3.6% YTD increase in supply and weaker demand. Abu Dhabi reported Y-o-Y decreases across the three key performance metrics. Occupancy fell 3.3% to 65.8%; ADR was down 6.7% to AED372.46 (USD101.4); and RevPAR dropped 9.7% to AED245.08 (USD66.72). Meanwhile, Bahrain saw a 5.1% increase in occupancy to 54%. However, ADR dropped 7.4% to BHD76.30 (USD202.3), and RevPAR fell 2.7% to BHD41.22 (USD109.3). (Arabian Business)

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