Middle East Hotels RevPar Drops

Revenue per available room (RevPar) in the Middle East dropped again due in part to Dubai’s negative performance and its effect on the region.  STR Global figures show that RevPar dropped 18.4% to Dh548.12 (US$149.3).  Beirut was an exception, achieving growth of more than 150%.  Occupancy rates in the Middle East fell from 76.8% to 68.9%.  RevPar in the Middle East fell 14.9% during the first four months of the year compared to the same months last year.  STR Global Managing Director James Chappell said “It is getting harder to find a positive angle in the Middle East.”

Rob Hanlon, a partner with Deloitte Tourism, Hospitality and Leisure said “The region has been affected due to declines in occupancy and RevPar in key markets such as Dubai”. O’Hanlon attributed Dubai’s negative performance in part to a slowdown in demand from feeder markets and an increase in supply.  

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