Benchmark. Middle East Hotel Benchmark Survey Report

Transcription

1 Benchmark Middle East Hotel Benchmark Survey Report November 214 The hotel benchmark report provides a monthly performance overview of leading hotels in the Middle East. The hotel set includes international branded and operated properties across the 5 star and 4 star segment.

2 Yousef Wahbah Partner and Head of MENA Transaction Real Estate, EY, UAE EY Middle East Hotel Benchmark Survey We hope you enjoy the November 214 report of the EY Middle East Hotel Benchmark Survey. Inside we cover occupancy and rate performance in key hotel markets across selected countries and cities in the Middle East on a monthly and Year-to-Date basis in local currencies and US dollars. This monthly Middle East Hotel Benchmark Survey is part of our services to the hospitality sector. EY Transaction Real Estate Advisory Services team headquartered in Dubai is the leading business advisory practice in the region. Our team consists of professionals from around the globe with extensive real estate, hospitality operations and advisory experience. We understand and offer a full scope of multidisciplinary services for developers, lenders, owners and operators. Our specialist services include acquisitions, capital sourcing, highest and best use analysis, due diligence, company selection/contract reviews, strategic business planning, repositioning analysis, operational enhancement/diagnostics, valuations/appraisals and disposition, for every real estate industry segment such as hotel, residential, commercial, retail, restaurant, golf, marina, theme park and convention center. EY is the largest professional services organization in the global EY network with more than 19, Page 3: November 214 key performance highlights. Page 4: We have highlighted the largest variance on a per month basis for the various markets over the last twelve month period in regards to occupancy, average room rate, and Rooms yield. Dubai overall occupancy, average room rate and Rooms yield over the past twelve months. Page 6: Monthly performance of various markets compared to the previous year s monthly period in local currency. Page 7: Monthly performance of various markets compared to the previous year s monthly period in US dollar currency. Page 8: Year-to-Date performance of various markets compared to previous year period in local currency. Page 9: Year-to-Date performance of various markets compared to previous year period in US dollar currency. 2 Benchmark November 214

3 November 214 Key Performance Highlights Hospitality markets in Cairo, Beirut and Manama witness a positive increase in November 214 With the government s effort in recuperating tourism in Egypt and all the Egyptian ambassadors across the globe co-operating the region, Cairo s hospitality market continues to see growth month over month, with average occupancy increasing from 24.% in November 213 to 4.% in November 214. The increase in occupancy was coupled with a jump in ADR from resulting in a rise in RevPAR by 117.% in November 214 when compared to November 213 Beirut s hospitality market has continued its positive trend, with average occupancy increasing from 47.% in November 213 to in November 213 to US$16 in November 214 In November 214, Manama s hospitality market witnessed an in November 214. The increase in occupancy was attributed to the Jewelry Arabia event which took place in November which is the only international trade event dedicated to fashion jewelry, now established as the biggest and most prestigious jewelry exhibition in the Middle East Dubai s hospitality market sees a slight drop in RevPAR performance when compared to November 213 Despite the continuous strong supply growth with new hotels opening, occupancy slightly dropped by 1.4% in November 214 when compared to the same period last year. Hotels across Dubai have also recorded a slight drop in RevPAR from US$287 the drop in occupancy due to the increased inventory in the city Abu Dhabi s hospitality market witnesses an increase in RevPAR performance in November 214 Abu Dhabi s hospitality market witnessed an increase in RevPAR of 3.4% in November 214 when compared to November 213, this was mainly due to the increase in ADR from US$262 in November 213 to US$273 in November 214. This is ascribed to the increased tourists in the city due to the F1 racing and the international petroleum exhibition and conference that took place in November Kuwait and Jeddah s hospitality market performance dropped when compared to the same period last year In November 214, Kuwait s hospitality market witnessed a decrease in RevPAR of 33.4% as compared to November 213, this was mainly due to ADR dropping from US$341 in November average occupancy of 7.% in November 214 when compared to the same time last year Jeddah s hospitality performance decreases by 2.2% in RevPAR from US$236 in November 213 to US$248 in November 214, Benchmark 3

4 Markets with the largest variance on a per month basis % Occupancy for Riyadh Hotels 9 Occupancy % Occupancy % Average Room Rate for Cairo City (US$) 12 Average room rate Average room rate Rev PAR in Manama(US$) 14 Room yield Room yield Benchmark November 214

5 Dubai overall monthly performance % Occupancy for Dubai Overall Hotels 1 Occupancy % Occupancy % Average room rate for Dubai Overall hotels (US$) 4 Average room rate Average room rate Rev PAR in Dubai Overall hotels (US$) 35 Room yield Room yield Benchmark 5

6 Selected markets monthly performance (Local currency) EY Middle East Hotel Benchmark Survey Monthly performance: 11/214 Currency: Local Occupancy Average room rate Rooms yield Currency 214% 213% Change in % points Change Change Bahrain Manama BHD % % Egypt Cairo City EGP % % Jordan Amman JOD % Kuwait Kuwait KWD % % Lebanon Beirut LBP , % 117, % Qatar Doha QAR % % Saudi Arabia Jeddah SAR % Madina SAR % 3 Makkah SAR , Riyadh SAR % 424 United Arab Emirates Abu Dhabi AED , % % Dubai Beach AED. 1,789 1,9-9.7% -3.1% Dubai City AED % Dubai Overall AED ,134 1,21-6.3% % Notes Figures may not add up due to rounding. Cairo Overall includes: Cairo City and Cairo Pyramid Hotels. Dubai Overall Includes: Dubai Beach, Dubai City and Dubai Apartment Hotels Advisory Services Group across the MENA region. It is intended for informational use only. The reader should consult his or her professional investment advisor, attorney, or accountant before making any decision or taking any action based upon the information presented in this document. Benchmark data is provided by individual hotel companies. While we believe the data collected is reliable, EY has not performed an audit or review of the information gathered and does not express an opinion or any form of assurance on the accuracy of such information. This report is also proprietary of EY and no part of this report, in whole or in part, may be reproduced or transmitted without written consent at Benchmark November 214

7 Selected markets monthly performance (US dollar) EY Middle East Hotel Benchmark Survey Monthly performance: 11/214 Currency: US$ Occupancy Average room rate Rooms yield Currency 214% 213% Change in % points Change Change Bahrain Manama US$ % % Egypt Cairo City US$ % % Jordan Amman US$ % Kuwait Kuwait US$ % % Lebanon Beirut US$ % % Qatar Doha US$ % % Saudi Arabia Jeddah US$ % Madina US$ % 87 Makkah US$ Riyadh US$ % United Arab Emirates Abu Dhabi US$ % % Dubai Beach US$ % % Dubai City US$ % Dubai Overall US$ % % Notes Figures may not add up due to rounding. Cairo Overall includes: Cairo City and Cairo Pyramid Hotels. Dubai Overall Includes: Dubai Beach, Dubai City and Dubai Apartment Hotels Advisory Services Group across the MENA region. It is intended for informational use only. The reader should consult his or her professional investment advisor, attorney, or accountant before making any decision or taking any action based upon the information presented in this document. Benchmark data is provided by individual hotel companies. While we believe the data collected is reliable, EY has not performed an audit or review of the information gathered and does not express an opinion or any form of assurance on the accuracy of such information. This report is also proprietary of EY and no part of this report, in whole or in part, may be reproduced or transmitted without written consent at Benchmark 7

8 Selected markets Year-to-Date performance (Local currency) EY Middle East Hotel Benchmark Survey Year over Year performance (January November) Currency: Local Occupancy Average room rate Rooms yield Currency 214% 213% Change in % points Change Change Bahrain Manama BHD % % Egypt Cairo City EGP % % Jordan Amman JOD % % Kuwait Kuwait KWD % Lebanon Beirut LBP , ,61-4.9% Qatar Doha QAR % % Saudi Arabia Jeddah SAR , % % Madina SAR % 497 Makkah SAR ,1-18.% % Riyadh SAR % % United Arab Emirates Abu Dhabi AED % Dubai Beach AED , % 1.8% Dubai City AED % -3.1% Dubai Overall AED , % % Notes Figures may not add up due to rounding. Cairo Overall includes: Cairo City and Cairo Pyramid Hotels. Dubai Overall Includes: Dubai Beach, Dubai City and Dubai Apartment Hotels Advisory Services Group across the MENA region. It is intended for informational use only. The reader should consult his or her professional investment advisor, attorney, or accountant before making any decision or taking any action based upon the information presented in this document. Benchmark data is provided by individual hotel companies. While we believe the data collected is reliable, EY has not performed an audit or review of the information gathered and does not express an opinion or any form of assurance on the accuracy of such information. This report is also proprietary of EY and no part of this report, in whole or in part, may be reproduced or transmitted without written consent at Benchmark November 214

9 Selected markets Year-to-Date performance (US dollar) EY Middle East Hotel Benchmark Survey Year over Year performance (January November) Currency: US$ Occupancy Average room rate Rooms yield Currency 214% 213% Change in % points Change Change Bahrain Manama US$ % % Egypt Cairo City US$ % % Jordan Amman US$ % % Kuwait Kuwait US$ % Lebanon Beirut US$ % Qatar Doha US$ % % Saudi Arabia Jeddah US$ % % Madina US$ % Makkah US$ % % Riyadh US$ % % United Arab Emirates Abu Dhabi US$ % Dubai Beach US$ % % Dubai City US$ % % Dubai Overall US$ % % Notes Figures may not add up due to rounding. Cairo Overall includes: Cairo City and Cairo Pyramid Hotels. Dubai Overall Includes: Dubai Beach, Dubai City and Dubai Apartment Hotels Advisory Services Group across the MENA region. It is intended for informational use only. The reader should consult his or her professional investment advisor, attorney, or accountant before making any decision or taking any action based upon the information presented in this document. Benchmark data is provided by individual hotel companies. While we believe the data collected is reliable, EY has not performed an audit or review of the information gathered and does not express an opinion or any form of assurance on the accuracy of such information. This report is also proprietary of EY and no part of this report, in whole or in part, may be reproduced or transmitted without written consent at Benchmark 9

10 EY Assurance Tax Transactions Advisory About EY EY is a global leader in assurance, tax, transaction and advisory services. The insights and quality services we deliver help build trust and confidence in the capital markets and in economies the world over. We develop outstanding leaders who team to deliver on our promises to all of our stakeholders. In so doing, we play a critical role in building a better working world for our people, for our clients and for our communities. EY refers to the global organization, and may refer to one or more, of the member firms of Ernst & Young Global Limited, each of which is a separate legal entity. Ernst & Young Global Limited, a UK company limited by guarantee, does not provide services to clients. For more information about our organization, please visit ey.com. The MENA practice of EY has been operating in the region since and an unwavering commitment to quality. As an organization, we continue to develop outstanding leaders who deliver exceptional services to our clients and who contribute to our communities. We are proud of our accomplishments over the years, reaffirming our position as the largest and most established professional services organization in the region. 214 EYGM Limited. All Rights Reserved. This material has been prepared for general informational purposes only and is not intended to be relied upon as accounting, tax, or other professional advice. Please refer to your advisors for specific advice. ey.com/mena