Average daily rates (ADR) charged by Dubai hotels might be falling to its lowest in nearly 14 years in July, according to analysts STR.
Even though STR’s initial July data for Dubai indicated performance consistent with strong growth in both supply and demand, ADR levels are on the edge to fall to their lowest since August 2004.
Based on daily data from July, Dubai’s hospitality market reported a 6.3 percent rise in supply and a 7.2 percent increase in demand.
The figures also showed that habitation rose by 0.9 percent to 66 percent in what is traditionally a quiet month due to the rise in summer temperatures to well over 40 degrees Celsius.
STR said in a statement: “Although growth in demand (room nights sold) was significant, performance levels remained low due to pressure from increased supply. The absolute ADR level would be the lowest for any month in the market since August 2004.”
more recommended stories
GCC News: GCC mobile phone shipments slump to six-year low
Shipments of mobile phones to the.
UAE Armed Forces has awarded 28 deals worth AED4.87 billion on IDEX, NAVDEX
The UAE Armed Forces has awarded.
Saudi Arabia reveals $22 billion worth of activities in Riyadh
The undertakings incorporate 15 housing improvements.
Investcorp, Standard Life intend to increase to $1 billion for Gulf finance
Bahrain’s Investcorp Bank and Standard Life.