{"id":108649,"date":"2025-10-21T00:00:00","date_gmt":"2025-10-21T00:00:00","guid":{"rendered":"https:\/\/enterpriseam.com\/uae\/hotel-market-revenues-surge-11-9-y-o-y-this-year\/"},"modified":"2025-10-21T00:00:00","modified_gmt":"2025-10-21T00:00:00","slug":"hotel-market-revenues-surge-11-9-y-o-y-this-year","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/uae\/2025\/10\/21\/hotel-market-revenues-surge-11-9-y-o-y-this-year\/","title":{"rendered":"Hotel market revenues surge 11.9% y-o-y this year"},"content":{"rendered":"

The UAE\u2019s hospitality sector posted another strong year<\/strong>, with revenue per available room (RevPAR) up 11.9% y-o-y in the year to August 2025 and average occupancy rising 4% to 78.5%, according to Knight Frank\u2019s latest UAE Hospitality Market Review (pdf)<\/a>.<\/p>\n

Abu Dhabi leads the gains: <\/strong>The capital recorded the sharpest growth nationwide, with RevPAR up 24% and average daily rate (ADR) rising 20.2%, followed by Dubai (+10.1%) and Ras Al Khaimah (+10%).<\/span><\/p>\n

Strong visitor growth across <\/strong>Miral\u2019s Yas, Saadiyat Islands: <\/strong>Visitor numbers to Abu Dhabi\u2019s Yas Island rose 15%, while Saadiyat Island saw a 14% increase in visitors this summer \u2014 recording their strongest season on record, according to an Abu Dhabi Media Office statement<\/a>. Yas Island hotels averaged 85% occupancy, peaking above 90% in August, with The WB Abu Dhabi\u2019s average daily rate (ADR) hitting AED 1.5k. Saadiyat Island hotels averaged 66% occupancy with peak ADR at around AED 1k.<\/p>\n

Main attractions: <\/strong>Yas Theme Parks saw visits climb 9% y-o-y, with visits in August alone up 16%, as international visitors rose 50%, led by Russia (+86%), the UK (+47%), the GCC (+31%), and China (+31%). Footfall at Yas Marina and Yas Bay Waterfront also jumped 27%. <\/p>\n

Dubai occupancy and visitor growth also remain strong:<\/strong> The emirate welcomed 11.2 mn international visitors between January and July this year (+5.2% y-o-y), generating 25.5 mn occupied room nights and an average occupancy rate of 79.1%, up from 75.9% a year earlier. Luxury aparthotels and aparthotels recorded the highest occupancy, both at 82%, while five-star hotels averaged 79% and four-star hotels saw 78% occupancy.<\/p>\n

RevPAR rose 10.1% y-o-y during the period to August<\/strong>, up from 2.8% y-o-y growth in the same period last year, the report said. <\/p>\n

Luxury and branded hotels dominate UAE supply:<\/strong> Of the UAE\u2019s 213.9k existing rooms, 26% are upscale, 22% luxury, and 21% upper-upscale. By operator, 51% belong to international brands, 37% to local brands, and 12% are unbranded. Room stock is concentrated in Dubai (165.3k), followed by Abu Dhabi (37.0k), Sharjah (14.5k), and Ras Al Khaimah (11.9k).<\/p>\n

More rooms on the way: <\/strong>Total supply is projected to reach 217.9k rooms by end-2025 (+3% y-o-y), before reaching 235.7k across 1.2k hotels by 2030, with 43% of upcoming stock in the luxury segment. Dubai accounts for 55.9% of all upcoming hotel supply, maintaining its well-earned position as the UAE\u2019s hospitality hub. <\/p>\n

The UAE\u2019s hotel market is entering a more mature, investment-led stage \u2014 especially in Dubai \u2014<\/strong> as buyers shift from development to acquisitions and asset repositioning as capital pools deepen, Knight Frank said. Recent transactions include Select Group\u2019s purchase of Radisson Blu Dubai Media City and Arzan Financial Group\u2019s acquisition of Fairmont The Palm<\/a>, both targeting refurbishment and higher yields.<\/p>\n

Ras Al Khaimah and Abu Dhabi gain ground: <\/strong>Both are emerging as complementary investment targets, attracting interest in leisure-led and resort projects. Abu Dhabi is planning a Disney resort on Yas Island<\/a>, while Ras Al Khaimah\u2019s USD 4 bn Wynn Al Marjan Island resort<\/a> \u2014 set to open in early 2027 \u2014 has triggered a wider construction boom<\/a> and a growing project pipeline<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"

Abu Dhabi led nationwide growth, followed by Dubai and Ras Al Khaimah<\/p>\n","protected":false},"author":1,"featured_media":108650,"comment_status":"","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"newspack_ads_suppress_ads":false,"newspack_popups_has_disabled_popups":false,"newspack_sponsor_sponsorship_scope":"","newspack_sponsor_native_byline_display":"inherit","newspack_sponsor_native_category_display":"inherit","newspack_sponsor_underwriter_style":"inherit","newspack_sponsor_underwriter_placement":"inherit","ep_exclude_from_search":false,"_primary_brand":0,"newspack_featured_image_position":"","newspack_post_subtitle":"","newspack_article_summary_title":"Overview:","newspack_article_summary":"","newspack_hide_updated_date":false,"newspack_show_updated_date":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[2321],"tags":[1360,87,7,477],"brand":[],"newspack_spnsrs_tax":[],"class_list":["post-108649","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-hospitality","tag-abu-dhabi","tag-dubai","tag-enterpriseam-uae","tag-hospitality","wpautop","entry"],"acf":{"mongo_id":"9f7647b9-43d6-4018-be84-28ebba60a10c","order":"4","is_powered_by":false,"story_type":"1","photo_url":"https:\/\/ent.news\/2025\/7\/929.jpg","photo_position":"above","homepage_title":"","full_issue_title":"Hotel market revenues surge 11.9% y-o-y this year","related_issue":[108642],"teaser":"Abu Dhabi led nationwide growth, followed by Dubai and Ras Al Khaimah","voice_url":"https:\/\/s3.us-east-1.amazonaws.com\/ent.news\/audio\/2025\/10\/.1c37033a-7eec-4711-a1d4-a4f519bdc801.mp3"},"yoast_head":"\nHotel market revenues surge 11.9% y-o-y this year - 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