Abu Dhabi suffers 23% dip in occupancy rates

Hotel occupancy rates for the Middle East and Africa were weighed down by Abu Dhabi last month, which suffered a 23.4 per cent year-on-year decline.

The average number of occupants staying in Abu Dhabi hotels during April dropped to 60.7 per cent, according to the latest report from industry research provider STR Global.

Beirut and Cape Town also suffered eight per cent and 7.1 per cent declines to 72.4 per cent and 51.5 per cent respectively. Meanwhile, occupancy rates in Riyadh fell 0.2 per cent to 63.2 per cent.

But in general, the region’s occupancy saw little change with a 0.6 per cent decrease to 65.9 per cent. Average daily rates climbed two per cent to US$162.04 and revenue per available room (RevPAR) grew 1.4 per cent to US$106.79.

“The region, which came later in the downturn in 2009, is making progress on the path to recovery with its third month of RevPAR increases,” said Elizabeth Randall, managing director of STR Global.

“Demand grew, and despite continuing increases in new supply, the region got the top spot with 66 percent occupancy and US$162 ADR (average daily rate) of the four regions. The year-to-April RevPAR results are $0.77 higher than year-to-date 2009 and $16 lower than year-to-date 2008.”

Muscat reported the second biggest occupancy increase, up 10 per cent to 66.9 per cent, while ADR in Beirut climbed 41.1 per cent to US$243.80.

In Abu Dhabi and Muscat, ADR dropped 32.8 per cent to $208.22 and 19.1 per cent to $245.88 respectively.

The UAE capital also suffered the largest RevPAR decrease, falling 48.5 per cent to $126.34, followed by Muscat with an 11 per cent decrease to $164.52.