HotelNewsNow.com each week features a news roundup from a different region of the world. Today’s review covers Middle East/Africa.
MEA performance
The Middle East/Africa region reported positive performance results in February 2013 when reported in U.S. dollars, according to data compiled by STR Global, sister company of HotelNewsNow.com.
The region reported a 6.4% increase in occupancy to 66.4%, a 2.9% increase in average daily rate to $176.55 and a 9.5% increase in revenue per available room to $117.24.
MEA pipeline
The Middle East/Africa hotel development pipeline comprises 491 hotels totaling 120,524 rooms, according to the February 2013 STR Global Construction Pipeline Report.
Among the markets in the region, Riyadh, Saudi Arabia, reported the largest expected supply growth (+103.2%) if all 7,990 rooms in the country’s total active pipeline open. Four other countries reported expected room growth of more than 20%: Jeddah, Saudi Arabia (+63.6% with 3,798); Muscat, Oman (+42% with 1,992 rooms); Abu Dhabi (+38% to 7,189 rooms); and Dubai (+26.3% with 16,588 rooms).
Qatar gearing up for World Cup
The Qatar Tourism Authority said it will invest up to $20 billion on tourism infrastructure in preparation of hosting the 2022 The Fédération Internationale de Football Association World Cup. At a briefing in Doha, QTA officials said the country plans to build 45,000 hotel rooms to ensure it meets FIFA’s requirement of 60,000 rooms.
The room supply additions will include as many as 21 new properties scheduled to open by 2017.
Uganda to begin classifying hotels
Uganda will start classifying hotels, following the lead of fellow African nations Kenya, Tanzania and Rwanda, according to a report on allafrica.com.
The chairman of Uganda Hotel Owners Association, Haji Ibrahim Muwanga Kibirige, said the classification would help to enhance the standards and attract more tourists into the country.
Le Méridien renovation program
Starwood Hotels & Resorts Worldwide said $200 million will be invested in the renovation of 13 Le Méridien-branded hotels and resorts in the Middle East and Africa during the next three years.
“Since acquiring Le Méridien in 2005, Starwood and its hotel ownership groups have made a tremendous effort to enhance and create a consistent portfolio around the world,” Brian Povinelli, global brand leader, Le Méridien and Westin, said in a news release. “Le Méridien now boasts the best performance measures in the brand’s history, and our focused efforts on the Middle East and Africa hotels will only help ensure Le Méridien maintains its best portfolio ever.”
Development news
- Paramount Pictures and developer Damac Properties Company are partnering on a Paramount-branded hotel in Dubai that will cost approximately $1 billion to build, according to Bloomberg BusinessWeek. The project is scheduled to be finished by late 2015.
- Starwood Hotels said it will open 50 hotels across the Middle East/Africa region during the next five years.
- Accor opened the 317-room Pullman Dubai Deira City Centre in Dubai.
- Investment company Lonrho, in a franchise agreement with easyGroup, will open South Africa’s first easyHotel.com branded property in Africa, according to a Business Day report. The 60-room hotel will be in Johannesburg.
- Dubai-based Landmark Hotels & Suites opened the 173-room Ramada Deira in Dubai, according to Hotelier Middle East.
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The new-build, 223-room DoubleTree by Hilton Sulaymaniyah is expected to open early in 2015.
Compiled by Shawn A. Turner