Dubai shows negative November RevPAR performance
Preliminary results indicate 9.2% decline in revenue per available room
Preliminary November results for Dubai released by STR Global have indicated negative RevPAR performance, with 9.2% decline to AED 835.72 (US $227.53).
The data has also revealed a 7.3% increase in accommodation supply, outweighing demand, which increased 4.6%.
Additionally, a 2.5% decrease in occupancy to 85.5% was reported along with a 6.9% decrease in average daily rate to AED977.84 ($266.23).
Elizabeth Winkle, managing director of STR Global commented: “Growth in demand remained healthy for the month, achieving occupancy levels in excess of 85 percent despite the continuous strong supply growth.
“The notable decline in ADR, however, was impacted by a challenging comparable against the biennial Dubai Airshow in November 2013 as well as the annual Dubai Rugby Sevens moving into December 2014”.
“Our 2015 RevPAR outlook for Dubai remains positive as occupancy levels are expected to stay around 77%, which suggests continued pricing power”.
A 0.9-percent increase in revenue per available room is expected in 2015.
STR Global will release November 2014 results in two weeks. The November edition of the STR Global Hotel Market Forecast is now available.
STR Global provides a single source of global hotel data covering daily and monthly performance data, segmentation data, forecasts, annual profitability, pipeline and census information.