Gulf to add 126,000 hotel rooms by 2030 despite falling occupancy
Gulf states are set to add about 126,000 hotel rooms by 2030, a 25% increase to 616,000 rooms, as occupancy fell in every GCC country from January to August.
Gulf Cooperation Council states are preparing to add about 126,000 hotel rooms by 2030, a 25% increase that raises the total to 616,000 rooms, according to data from Cavendish Maxwell.
Saudi Arabia alone accounts for a pipeline of nearly 94,500 rooms, making it the region's largest market for hotel expansion in the coming years.
Occupancy fell in every Gulf country between January and August, reaching 59% in the UAE, dropping 27% in Dubai and posting the largest decline in Bahrain at 31%.
Cavendish Maxwell said regional tension forced the market to adapt to lower demand, putting new room supply before challenges as tourism activity slows.
What do these terms mean?
Hotel pipeline: The total rooms and hotels that are planned or under construction and have not yet entered service.
Occupancy rate: The percentage of rooms actually occupied out of the total rooms available in a hotel or market.
Gulf Cooperation Council: An alliance of Saudi Arabia, the UAE, Qatar, Kuwait, Bahrain and Oman that coordinates their economic policies.
Weekly Newsletter
Read between the lines before everyone else. Decode the most important economic, tech, and decision-maker movements in the region.. in 5 minutes every Saturday.
