Latest news with #KostasNikolaidis
The National
6 days ago
- Business
- The National
UAE hotels set for busy Eid as travel boom continues
Hotels across the UAE are gearing up for a busy Eid Al Adha break, with more than half of the rooms already booked and some industry experts forecasting full occupancy. Experts believe bookings can be attributed to the continued popularity of staycations; a growing number of visitors from neighbouring Gulf Co-operation Council (GCC) countries; and the public holiday landing outside of school holidays, meaning families want to make the most of the long weekend. In Dubai, Saturday is set to be the busiest day with 55.6 per cent of rooms booked so far, according to data shared with The National by the CoStar Group, parent company of hotel analytics provider STR. In Abu Dhabi, Friday is the busiest with 51.6 per cent of rooms booked. Kostas Nikolaidis, STR's senior account manager in the Middle East and Africa region, said the data suggests there is strong demand between Friday and Tuesday. Surge in demand 'Demand for accommodation will continue to rise as we get closer to the dates and people finalise their plans,' he said. 'Staycations are one of the main drivers, coupled with international visitors, primarily from neighbouring GCC countries.' The figures relate to bookings made up to May 26, the most recent available, but are expected to have sharply increased since then. Rove Hotels chief operating officer Paul Bridger is forecasting close to full occupancy. 'We're seeing strong demand across all the Rove hotels, with the highest demand at our beachfront locations like La Mer, JBR and Al Marjan Island, as well as hotels near shopping and entertainment hubs such as Downtown Dubai,' he said. 'We are forecasting our 4,000 rooms to be over 95 per cent occupied during the Eid period.' Mr Bridger said bookings are typically made within a week of the holiday starting. Nightly rates currently range from Dh399 to Dh899, depending on the location, and the chain is offering special Eid deals such as complimentary breakfasts and upgrades. 'Since this Eid doesn't coincide with extended school holidays, we're seeing stronger demand for staycations from families looking to make the most of the long weekend,' he said. Jan Hanak, managing director UAE, Oman, Bahrain, Qatar and Egypt for Radisson Hotel Group, said bookings are up on last year. 'Eid is always a busy time and this year, especially in our Dubai hotels, we are seeing significant growth in bookings from GCC countries and strong demand from our other traditional source markets,' said Mr Hanak. 'We expect standout results in both average rate and occupancy.' Travel boom continues The travel boom in the UAE shows no sign of slowing down. Dubai, for example, recorded a three per cent annual increase in international visitor numbers to 5.31 million during the first three months of the year, according to the Dubai Department of Tourism and Commerce Marketing. The city attracted 18.7 million international tourists in 2024, nine per cent more than the previous year. Data shows that Abu Dhabi, meanwhile, had 1.4 million overnight guests in the first quarter of this year. Its hotels generated Dh2.3 billion ($626.2m) in revenue, which 18 per cent more than the same period in 2024, according to the Department of Culture and Tourism Abu Dhabi. But the boom extends across the country. Ras Al Khaimah, which recorded 1.28 million overnight visitors last year, is aiming to grow that number to 3.5 million by 2030. The mammoth $5.1bn Wynn Al Marjan Island resort is expected to transform the hospitality industry when it is set to open in 2027. Godly Babukutty, managing director of Epic Travel, a travel agency based in the UAE, is seeing a mix of staycations and UAE residents opting to travel abroad – primarily to the Caucasus and Central Asia – to places where visas are easier to secure. 'Most of our packages were sold by last week,' said Mr Babukutty, adding the post-Covid boom in travel had not ended. 'Destinations within three to four hours are popular.' Mr Babukutty said a package to Georgia, for example, with his agency, including hotels, would have cost about Dh3,000 a few weeks ago but now some direct flights from Dubai alone are more than that. The high temperatures in May and April had also persuaded more people to travel abroad to cooler climates, he said, while Eid Al Adha's dates outside of the school break means many are staying in the country to save money for summer travel.
Zawya
16-05-2025
- Business
- Zawya
Saudi Arabia's giga projects drive massive growth in Middle East hotel pipeline
The Middle East and Africa region is seeing sustained momentum in its hospitality development pipeline, with 104,572 hotel rooms currently under construction and 50,683 expected to open in 2025. Leading this expansion is Saudi Arabia, which has 42,800 rooms under contract as of April 2025 — the highest in the region — driven by its giga projects and large-scale tourism developments under Vision 2030, according to the latest data from CoStar. Despite a wave of hotel openings in recent years — notably in Dubai ahead of Expo 2020 and in Qatar before the 2022 FIFA World Cup — the total number of rooms under contract across the MEA region has continued to grow steadily. 'It is encouraging to see total under contract pipeline continuing to expand across the MEA region,' said Kostas Nikolaidis, senior account manager at STR. He added that this momentum reflects rising demand across markets. 'As hotel room demand continues its steady growth at +1.9 percent in the March YTD period, future investment in the sector continues to expand.' Saudi Arabia's 42,800 rooms under contract as of April represent a year-on-year increase of 6,817 rooms. This growth is fueled by ongoing mega-projects and strategic investments aimed at transforming the Kingdom into a global tourism hub. 'Specifically for rooms under construction, the Saudi Arabia Regional submarket recorded the highest increase with 11,450 rooms in April 2025 compared to 9,716 rooms for the same month last year,' Nikolaidis noted. 'A great sign of progress as giga projects keep their pipeline moving across the three pipeline phases (proposed, final planning, under construction).' Long term view Zawya Projects earlier reported that Saudi Arabia, the UAE, Qatar, and Egypt are driving the MEA region's hotel development pipeline, citing data from CoStar that shows 50,683 rooms are expected to open in 2025. The global real estate analytics provider also revealed that while the number of rooms in final planning dropped by 21.8 percent to 28,875, those in the planning phase rose by 17.1 percent to reach 94,056 — reflecting continued long-term confidence in the sector. In Saudi Arabia, the holy cities of Makkah and Medina are major contributors to this expansion, with 17,646 and 20,079 rooms, respectively, spread across different stages of development. Meanwhile, Qatar and the UAE — particularly Dubai — are also playing a prominent role in regional hospitality growth. According to CoStar, Dubai is expected to add 5,344 rooms in 2025, while Riyadh and Jeddah will contribute 3,485 and 3,156 rooms, respectively. Across the broader MEA region, hotel development reflects strong investor and operator confidence, despite global economic headwinds. Governments across the region continue to prioritise tourism as a key economic pillar, backed by infrastructure upgrades, supportive policies, and ambitious national diversification strategies. With Saudi Arabia firmly in the lead, the MEA hospitality sector is well-positioned for sustained expansion, supported by long-term capital commitments and a robust development pipeline. (Reporting by SA Kader; Editing by Anoop Menon)
The National
25-03-2025
- Business
- The National
UAE hotels primed for 'exceptional' Eid as staycation bookings surge
The UAE's hotels are gearing up for a busy Eid Al Fitr with booking levels already up to about 60 per cent, with some operators forecasting full occupancy. Demand is being driven by many factors including staycations, with one hospitality company stating last-minute bookings from the GCC were a key driver and another experiencing 'remarkable momentum'. Eid Al Fitr – which heralds the end of Ramadan – is expected to begin on Monday, March 31. It also coincides with pleasant weather in the UAE, spring break for many schools and the first chance for a proper holiday since the new year break. In Dubai, April 1 is so far the busiest day with almost 60 per cent of rooms booked – corresponding to 44 per cent at the same time last year, according to data shared with The National by the CoStar Group, parent company of hotel analytics provider STR. In Abu Dhabi, April 2 and 3 currently have the highest occupancy on the books with both at 55.9 per cent. At the same date last year both days were under 40 per cent. The figures are as of March 17, the most recent available, but booking levels are expected to sharply increase as the holiday approaches. 'Hotel bookings for the upcoming Eid holiday in Dubai and Abu Dhabi are already gathering pace,' said Kostas Nikolaidis, STR's senior account manager for the Middle East and Africa, about the 2025 Eid data. 'Dubai hotels are already almost 60 per cent booked while Abu Dhabi hotels are close behind at around 55 per cent. More bookings are expected once the official Eid dates get announced. Occupancy is expected to rebound closer to February year to date averages which stood at 87.3 per cent in Dubai and 86.1 per cent in Abu Dhabi.' Mr Nikolaidis said Eid coinciding with spring break school holidays in the UAE makes for an interesting trend to watch when it comes to families. 'Many will choose to travel abroad while some may opt to avoid crowded airports and book staycations. Overall, a great opportunity for holidaymakers given the favourable weather in the UAE at this time of the year and hoteliers alike.' The UAE's major airlines are also gearing up for a hectic few days with both Emirates and Etihad issuing travel notes to urge people to plan ahead, arrive at the airport in time and check in early. Hotel operators said similar. 'Eid holidays have always been a peak period for Radisson Hotel Group in the region, but we are seeing even stronger momentum this year,' Jan Hanak, managing director, UAE, Oman, Bahrain, Qatar and Egypt, for the group, said. Mr Hanak said this year was ahead of last year and Radisson expected excellent results in terms of both rates and occupancy. 'We're on track for exceptional results, with both occupancy and room rates surpassing expectations, underscoring the continued growth and resilience of the hospitality industry,' he said. Accor, which operates 85 hotels in the UAE, said occupancy over Eid Al Fitr was expected to exceed 90 per cent with last-minute bookings from GCC remaining a key driver. 'April's booking pace is tracking over 50 per cent ahead of the same period last year, a clear sign of heightened travel demand,' said Paul Stevens, chief operating officer, premium, midscale and economy division for Middle East, Africa and Turkey. 'Staycations remain popular, particularly in Abu Dhabi and the Northern Emirates, while Dubai is seeing strong interest in its beachfront resorts.' Mr Stevens said Easter holidays in April were also fuelling a notable rise in international arrivals, adding further long term momentum. 'Overall, the market is showing exceptional resilience, with both domestic and international segments driving what is set to be a high-performing Eid across the UAE.' Five Hotels and Resorts forecast 'remarkable momentum' this year with 'occupancy levels set to surpass last year's record' and occupancy figures already pacing 7 per cent ahead of last year across its Dubai locations. Paul Bridger, chief operating officer of Rove Hotels, said Rove Hotels in Dubai are between 70 and 90 per cent occupancy, with beachfront destinations such as La Mer, JBR, and Dubai Marina, as well as hotels near entertainment hubs such as Downtown Dubai, seeing the highest demand. "We anticipate reaching full capacity in most of Rove Hotels in the coming days," said Mr Bridger. "Since Eid demand is primarily driven by the local market, bookings tend to come in closer to the holiday — typically within 48 to 72 hours of the start of the break." Mr Bridger said occupancy is up seven per cent across Rove Hotels in Dubai compared to last year. "With Eid shifting into peak travel season, we're seeing higher overall demand, fueled by both staycationers and a growing influx of international visitors," he said. The travel boom shows no sign of ending. Dubai Department of Economy and Tourism said the emirate welcomed 1.94 million overnight visitors in January 2025 – an increase of 9 per cent on the same month last year. While inflation has persisted above the 3 per cent mark Dubai, prices for hotel stays vary wildly from hundreds of dirhams to thousands. But some competitive prices can still be found across the UAE. Travel experts said people who cannot go abroad are almost spending the same amount of money in the UAE. 'We have not seen this much travel over a long holiday since the pandemic,' said Godly Babukutty, managing director of Epic Travel. 'Every year, every holiday we see a spike in the numbers of people travelling and the numbers of destinations.' Mr Babukutty said their packages abroad for Eid Al Fitr had nearly all sold out and staycations would start to pick up this week. 'People who can't go abroad are spending similar amounts of money doing staycations,' he said. 'There has been a travel boom, especially after Covid.'
Zawya
19-02-2025
- Business
- Zawya
50,683 new hotel rooms to open in Saudi Arabia, UAE, Qatar, Egypt in 2025
Saudi Arabia, the UAE, Qatar, and Egypt are driving the Middle East and Africa's hotel development pipeline with 50,683 rooms expected to open in 2025, the latest pipeline data showed. Data from CoStar, a global provider of real estate data and analytics, revealed that the region's hotel pipeline remains strong, with 104,572 rooms currently under construction. However, the number of rooms in the final planning stages has dropped by 21.8 percent to 28,875. In contrast, planned rooms have surged by 17.1 percent, reaching 94,056. Kostas Nikolaidis, senior account executive for the Middle East and Africa at CoStar, said: 'The increased focus on tourism and hospitality, driven by the need for economic diversification, has provided a massive boost to the sector.' He said that Saudi Arabia and the UAE have long led the region's hotel development, with Qatar having expanded rapidly in preparation for the 2022 World Cup. Nikolaidis said Egypt is also experiencing renewed investor interest after years of currency devaluations. 'Foreign investment plans are accelerating with the hospitality sector featuring high on the agenda,' he added. Saudi Arabia, he continued, has emerged as a major player, with a growing pipeline driven by the ambitious Saudi Vision 2030. 'Giga-projects such as NEOM and Red Sea Global (RSG) are swiftly reaching the point where the first hotels open and are ready to welcome visitors,' he said. The data showed that Makkah and Medina also have impressive pipelines, with 17,646 and 20,079 rooms respectively spread across various stages of development. Meanwhile, Qatar and the UAE, led by Dubai, are driving regional hotel growth, with CoStar data showing Dubai adding 5,344 rooms in 2025, while Riyadh and Jeddah will add 3,485 and 3,156 rooms, respectively. The region's growing demand for hotel capacity is driven by tourism, which is projected to continue increasing. As countries ramp up efforts to attract foreign investment and strengthen tourism infrastructure, hotel development remains a key element of economic diversification strategies. 'With tourism demand expected to continuously grow in the region, it comes as no surprise that more hotel rooms are required to accommodate the future demand,' Nikolaidis concluded (Reporting by SA Kader; Editing by Anoop Menon)
