March occupancy rates rocket in Abu Dhabi & Dubai

Hotels in Dubai and Abu Dhabi capitalised on a surge in GCC demand in March, according to the latest HotStats figures.

The research by the MENA Chain Hotels Market Review showed a spike in demand, boosted by the school spring break and a host of sporting and cultural events in the region.

Dubai posted double digit growth in RevPAR. Occupancy in Dubai stood at a robust 89.9% (up 2.3 percentage points against last March), while Average Room Rate (ARR) increased 9% to US $397.65, lifting RevPAR by 11.8% to US $356.98.

Abu Dhabi occupancy levels surged 19.3 percentage points to 81.7%, while ARR fell 5.1% to US $158.99 compared to the same period last year, lifting RevPar to 24.3% to US $129.91.

Abu Dhabi reported the highest growth in revenues and profits amongst the GCC cities surveyed by HotStats as Total revenue per Available Room (TRevPAR) went up by 24.6% to US $286.97 and Gross Operating Profit per Available Room (GOPAR) increased 37.6% to US $101.51.

The stellar performances of Abu Dhabi and Dubai were not mirrored elsewhere in the region with hotel performance in Kuwait declining as ARR dropped 6.8% to US $259.22 and occupancy remained stagnant at 65.3%, resulting in a 6.8% drop in RevPAR.

In the midst of political tension and a resurgence of protests, Cario hotel’s occupancy levels dropped 6.8 percentage points to 42% as demand plummeted, although ARR improved 11.4% to US $112.86. The lower occupancy caused a 4.15 decline in RevPAR to US $47.37.