RevPAR at Hotels in Dubai Drops 4.2% in June 2014

STR Global’s preliminary June 2014 data for hotels in Dubai indicates negative RevPAR performance. Based on daily data from June, hotels in Dubai reported:

- increases in supply (8.6%) and demand (2.6%);
- a 5.5% decline in occupancy to 75.0%;
- a 1.4% increase in ADR to AED658.12; and
- a 4.2% decline in RevPAR to AED493.68.

“Occupancy declined in June for the second month in a row, as demand growth slowed during one of the hottest months in the year and supply growth remained strong,” said Elizabeth Winkle, managing director of STR Global. “ADR continued to grow, posting the highest levels of any June since 2008. However, such an increase was not able to fully offset the negative occupancy performance.”