MENA Hospitality shows dipping stats: STR

MENA Hospitality shows dipping stats: STR

MENA occupancy dips
MENA occupancy dips

Recent reports from STR on hotels in the Middle East reported negative results, while hotels in Africa reported mixed results for April 2016.

When compared with April 2015, the Middle East subcontinent reported a 1.8% decrease in occupancy to 71.1%. Average daily rate for the month was down 10.8% to US$174.18. Revenue per available room dropped 12.4% to US$123.79.

The Northern Africa and Southern Africa subcontinents experienced a 4.1% decrease in occupancy to 55.5%. However, average daily rate was up 10.4% to US$108.85, and RevPAR increased 5.8% to US$60.46.

Kuwait reported decreases across three key performance metrics occupancy at -3.0% to 58.0%, ADR at -2.1% to KWD72.60 and RevPAR at -5.1% to KWD42.12. Supply in the country has grown 6.1% year to date, and Kuwait has experienced occupancy decreases in nine of 10 months following the June 2015 bombing of the Imam al-Sadiq Mosque.

Morocco reported an 8.2% decrease in occupancy to 57.4%, an 8.3% drop in ADR to MAD1,157.28 and a 15.9% drop in RevPAR to MAD664.24. Saudi Arabia recorded decreases in each of the three key performance indicators. Occupancy in the country fell 2.1% to 69.9%; ADR was down 7.4% to SAR600.36; and RevPAR dropped 9.3% to SAR419.36. Demand growth was at 4.1% but failed to keep pace with supply at 6.3, and ADR reached its lowest level since July 2010.

Abu Dhabi saw relatively flat occupancy performance at -0.7% to 76.3% but double-digit decreases in ADR at -12.4% to AED496.16 and RevPAR at -13.0% to AED378.60. Occupancy remained steady as supply growth remained subdued at 3.3%. However, rate dipped to its lowest absolute level for the month of April since 2005.

Johannesburg experienced double-digit growth in occupancy at 12.1% to 60.9% and RevPAR at 21.6% to ZAR553.91. ADR in the market was up 8.5% to ZAR909.72. The market’s occupancy was helped by a 2.2% decrease in supply.

Riyadh reported decreases in each of the three key performance measurements with occupancy at -7.3% to 64.4%, ADR at -2.6% to SAR866.22 and RevPAR at -9.7% to SAR558.14.

Gary Marshall
Written by:
Gary Marshall
Posted On:
Posted In: