STR

  • Casablanca hotel performance down due to supply influx
  • Continued supply growth pushes Dubai performance to significant lows

Hotels in the Middle East reported mixed second-quarter 2019 performance results, while hotels in Africa posted increases across the three key performance metrics, according to data from STR.

U.S. dollar constant currency, Q2 2019 vs. Q2 2018

Middle East

• Occupancy: +2.6% to 61.7%
• Average daily rate (ADR): -7.2% to US$147.44
• Revenue per available room (RevPAR): -4.8% to US$91.03

Africa

• Occupancy: +2.2% to 57.6%
• Average daily rate (ADR): +4.0% to US$106.53
• Revenue per available room (RevPAR): +6.3% to US$61.33

Local currency, Q2 2019 vs. Q2 2018

Casablanca, Morocco

• Occupancy: -7.6% to 58.8%
• ADR: -6.4% to MAD989.65
• RevPAR: -13.5% to MAD582.15

The absolute ADR and RevPAR levels were the lowest for a Q2 in STR’s Casablanca database. STR analysts note this is the first Q2 in Casablanca that showed a double-digit increase in supply (+15.0%)—performance levels were negatively affected as a result. When looking at individual months, May showed the market’s weakest performance across the three key performance metrics: occupancy (-27.8%), ADR (-12.3%) and RevPAR (-36.7%).

Dubai

• Occupancy: -0.9% to 67.1%
• ADR: -12.3% to AED513.73
• RevPAR: -13.1% to AED344.65

Supply has now outgrown demand in Dubai for six consecutive quarters. STR analysts note that the occupancy level was the lowest for a Q2 in Dubai since the time of the economic crisis in 2009, while the absolute ADR and RevPAR levels were the lowest since 2003. June was the strongest month of the quarter with a 30.5% increase in demand, which helped monthly performance levels.

Download the Global Performance Review

STR provides clients from multiple market sectors with premium, global data benchmarking, analytics and marketplace insights. Founded in 1985, STR maintains a presence in 10 countries around the world with a corporate North American headquarters in Hendersonville, Tennessee, and an international headquarters in London, England. For more information, please visit str.com.

Logos, product and company names mentioned are the property of their respective owners.

You May Also Like

U.S. Hotel F&B Performance Increased in 2018

U.S. hotel food-and-beverage revenue per occupied room (F&B RevPOR) increased 2.7% in…

Bennett Hay celebrates a year a success with Guest First Awards 2019

Bennett Hay, the bespoke hospitality company has marked another successful year with…

Smartphones, Voice Command & Safety Hold Power for Hotels in 2019

Advancements in technology and the ability for hotels to capitalize on consumer…

Hospitality workwear

Positive Branding is an established workwear provider with a huge clothing range…