Dubai hotels are trying to attract more visitors from neighboring emirates to boost occupancy by extending summer and weekend packages through Ramadan.  Naseem Darkazally with Rotana Dubai explained “Rotana normally has two different campaigns for summer and Ramadan.  The advantage for us this year is that Ramadan falls during the summer, so the aggressive campaign will cover most of Ramadan.”  Darkazally is the company’s Area Director of Sales and Marketing.   He said domestic travel form the wider GCC increased 50% from last year. 

Special packages include gift vouchers, free limousine transfers, discounts at select restaurants, and complimentary wireless and broadband internet.  Northern Emirates and Rotana just began a new marketing campaign focused on the GCC market.  Darkazally said he expects domestics travel will be boost occupancy levels and marketing activities have been planned accordingly.

Air Arabia will open the new three star 300 room Centro Hotel at Sharjah Airport in April 2010.   The airline said that concrete for all four floors of the hotel is finished, and they expect the hotel will be completed below budget.  

Air Arabia Chief Executive Adel Ali said the Centro by Rotana is an important part of the airlines expansion strategy.    He said “In addition to enhancing the services offered by Air Arabia, the hotel will also strengthen ancillary revenues.  In early 2007 Air Arabia announced the launch of Centro Hotel after signing a management agreement with Rotana Hotels under the Centro by Rotana brand.
 

Lodging Econometrics reported that the Middle East will see 99 new hotel openings with 25,829 hotel rooms in 2009, and most of the new openings will be occur in Abu Dhabi and Dubai.  Lodging Econometrics, an international firm that tracks all hotel real estate, forecasts that 110 hotels with 31,725 rooms will open in 2010.  During the first quarter of 2009 68 new hotels with 11,924 guest rooms opened in the Europe, Middle East, and Africa region.  About 28% of these rooms opened in the Middle East and 60% in Europe.

The Lodging Econometrics report concludes the global economic crisis “is having a serious impact on lodging development” due to the decrease in available credit and business and consumer travel.  It forecast that new openings in the Middle East and Africa will accelerate each year through 2011 “as large iconic projects come online.” 
 

A new US hotel brand will make its debut in the Middle East with the launch of  a new hotel in Abu Dhabi.   The Aloft hotel will be located near the Abu Dhabi National Exhibition Center (ADNEC) and offer designer style and accessible technology at an affordable price to the business traveler.   It will provide guests a self service check in facility.

General Manager for Aloft Abu Dhabi said “We have the ultimate product in terms of technology and convenience but then we do away with things like costly concierge services.”    Stephan Vanden Auweele explained they have discarded old fashioned and clichéd aspects of hotels.  Guests will be able to use touch screen stations to choose their room, floor, confirm rates, receive room keys, and check themselves in and out of hotels.  The hotel will offer free access to several computer terminals with printers and WiFi.  
 

Many foreign buyers are interested in various hotel properties in Dubai, but discouraged by the limited availability of loans. CB Richard Ellis manager Amine Hamdani said the return on investment in 5 star hotels is much better in Dubai than in Paris.  She said Dubai properties generate about 35% net income for investors compared to 15% for properties in France.

Hamdani explained while more international buyers have expressed interest in Dubai properties few are selling.  Jones Lang LaSalle company said internationally hotel investment may drop up to 58.3% because of the ongoing global financial crisis.  Deloitte & Touche hospitality director Alex Kyriakidis said the main problem now is lack of financing.  Alex Kyriakidis said “There are owners who want to realize value or attract partners and there are interested buyers in the Dubai hospitality industry, but the problem which will continue for at least the next six to nine months is the lack of credit.”