Dubai, May 20: With increasing number of hotels, Dubai’s hospitality sector is witnessing a rapid surge after facing the impact of global recession last year, say industry experts.
When most of the global economies, especially the US and Europe, are struggling to shake off the shackles of recession, hoteliers in Dubai see more opportunity with large number of new hotel rooms coming up.
‘There are between 16,000 and 20,000 hotel rooms to enter the Dubai market by the end of the year, which will contribute to producing lower room rates and attracting more visitors to Dubai,’ said Khalid bin Sulayem, Director General of Dubai Tourism and Commerce (DTCM).
Khalid bin Sulayem also visited the ongoing ‘The Hotel Show’ which displayed all the latest products, services and technologies available in catering and leisure industries of the Middle East.
According to a study by Dubai-based firm Proleads, currently over 470 hotel projects are in pipeline across the Gulf region.
‘Originally when these projects were conceived, the regional hospitality industry was booming. The projects were being built to satisfy future demand, said Ray Tinston, Sales Director, ‘The Hotel Show’.
A recent data showed that revenue from each room in the Middle East was estimated at $131.42 in February 2010. The figure is higher than other regions in the world. For example, Europe recorded an estimated $72.05 per room while in Asia Pacific, the average income from a room was $79.65 during the period.
Proleads estimates that annual cash expenditure on hotel projects under construction across the Gulf will top $1.17 billion this year as the number of such projects is accelerating by 11.4 percent.
‘The region will have the best hospitality infrastructure in the world and some of the finest hotels and resorts, when the global economy finally emerges from the downturn,’ Tinston said.
–IANS