Hotels in the Middle East reported occupancy rose 1.9% to 69.1% in January, while a 3.4% ADR decline to $170.28 pushed RevPAR down 1.6% to $117.75. Africa's hotel industry saw occupancy increase 5.7% to 53.4%, ADR increase 2.6% to $126.55 and RevPAR increase 8.4% to $67.54 during the month.
LONDON—Hotels in the Middle East reported mixed January 2018 performance results, while hotels in Africa posted growth across the three key performance metrics, according to data from STR.
U.S. dollar constant currency, January 2018 vs. January 2017
- Occupancy: +1.9% to 69.1%
- Average daily rate (ADR): -3.4% to US$170.28
- Revenue per available room (RevPAR): -1.6% to US$117.75
- Occupancy: +5.7% to 53.4%
- Average daily rate (ADR): +2.6% to US$126.55
- Revenue per available room (RevPAR): +8.4% to US$67.54
Local currency, January 2018 vs. January 2017
- Occupancy: +16.3% to 54.1%
- ADR: +28.5% to MAD129.16
- RevPAR: +49.5% to MAD69.90
The year-over-year increase in RevPAR was the first for a January in Morocco since 2014. STR analysts attribute a spike in demand (+16.1%) to the FIA Formula E Championship race in Marrakech as well as Marrakech Marathon.
- Occupancy: +8.6% to 41.4%
- ADR: -11.2% to NGN136.09
- RevPAR: -3.6% to NGN56.38
STR analysts note that Nigeria’s hotel industry continues to be affected by a poor reputation around security concerns in the country. Regardless, the 8.6% year-over-year lift in occupancy was the country’s highest for any January since 2013.
- Occupancy: +6.4% to 59.5%
- ADR: -5.2% to SAR566.34
- RevPAR: +0.9% to SAR336.70
The January school holiday, which fell primarily in February last year, pushed a 16.4% rise in demand. Both occupancy and ADR levels continue to be pressured by supply growth, which rose to 9.3% for the month. As STR reported last week, Saudi Arabia’s hotel development pipeline represents 76% of the existing room supply in the country. However, STR analysts stress the importance of considering the long-term investments being made in tourism and hospitality as part of Vision 2030.
International Media Contacts:
Marketing & Communications
+44 (0)207 922 1979
Director of Marketing, Research & Analysis
+44 (0)207 922 1965
The above is a news release written by a third party. While HNN’s editorial mission is to produce unique content, it occasionally publishes timely, newsworthy news releases to complement in-house reporting efforts. All news releases are clearly marked as such. For questions and clarification, please contact Editor-in-Chief Stephanie Ricca at firstname.lastname@example.org.