Dubai reaches milestone as it continues to expand hotel offering
26 May, 2016
Dubai is set to hit the 100,000 rooms milestone across its expanding hotel and hotel apartment inventory, as the city aims to firmly position itself as a top 10 global destination in terms of available hotel supply, indicating high demand from international travellers and sustained growth in tourism volumes.
Over the next three years, Dubai’s Department of Tourism and Commerce Marketing (Dubai Tourism) expects occupied room nights in hotels and hotel apartments to reach 36.9 million, representing an 11-12% compound annual growth rate (CAGR) to 2018 end. As such, the overall room supply is expected to reflect similar growth, reaching 138,000 rooms by the end of 2018.
His Excellency Helal Saeed Almarri, Director General, Dubai Tourism, said: “Infrastructure supply is a core enabler to not only create demand but also ensure that the value from the consumers we bring to Dubai is maximised. In the hotel industry, where we have traditionally witnessed a lag in supply, we are now tracking demand more actively, and our estimates are extremely prudent in that they cater for a diversified market need that will provide confidence to investors.
The increase in rooms will feature a number of new concepts in the 3 and 4 star property segment such as the Hilton Garden Inn, Rove Hotels and Hyatt Place, which will continue Dubai’s drive in diversifying the industry to include both mid-market and luxury hotels. The luxury segment will count 25 new properties, including the Viceroy Dubai Palm Jumeirah, Waldorf Astoria and the Shangri-La Palm Tower in addition to the extension of Madinat Jumeirah, which will include a new hotel – Jumeirah Al Naseem – upon completion by the end of the year.