5,635 = Number of rooms set to open in Qatar
15,800 = Number of rooms Hilton Worldwide plans to bring online in the region in the next four years
6 % = Occupancy rate growth Rotana expects this year over 2011
24,500 = Number of rooms planned to open in the UAE in the next three to five years tolerance , or refocus their view to the long term . Egypt and the parts of Turkey broadly considered to be part of the Middle East are bridge plays . The former has shown itself capable of quick comebacks after a variety of troubling incidents , while the latter has yet to see its full potential plumbed . They are known quantities with measurable upside from where they stand now in terms of their hotel stock and tourism .
THE PIPELINE : MIDDLE EAST , AFRICA
The St . Regis Saadiyat Island Resort , Abu Dhabi , is one the latest of what is now close to 70 Starwood hotels in MENA . Another 40 are in the pipeline .
according to HVS ’ s report , “ Impact of the Arab Spring .” Experts largely predict that development pace will be sustainable . Room demand increased 9 % in the region as a whole in the first quarter of 2011 , according to Neil George , vice president , acquisitions and development , Africa and Middle East , Starwood Hotels & Resorts Worldwide . “ And that ’ s with the Eurozone crisis and the political uncertainty in some markets ,” he adds .
Offsetting the negative headlines is a mother lode of events and proposed infrastructural improvements . Doha will host the World Cup in 2022 . Abu Dhabi , Doha and Dubai are all in the process of expanding their airports . The layering of
MIDDLE EAST MATH
5,635 = Number of rooms set to open in Qatar
15,800 = Number of rooms Hilton Worldwide plans to bring online in the region in the next four years
these programs should provide the foundation for continued business growth and an expanded hotel inventory . “ I think infrastructure will keep pace with hotel development in places like Doha , even after the major events are over . Travel within the region is on the rise , as well ,” says Hala Matar Choufany , managing director , HVS Dubai .
The exceptions to this rosy forecast are few and far between , but Choufany warns Abu Dhabi could be a “ cautionary tale — occupancy is under the 40 % range because it ’ s so overbuilt ,” she adds .
Hotel brands looking for the next Doha or Dubai may have to search farther afield and amp up their risk
The new Jumeirah Creekside Hotel , Dubai , is the company ’ s ninth hotel in the city .
6 % = Occupancy rate growth Rotana expects this year over 2011
24,500 = Number of rooms planned to open in the UAE in the next three to five years tolerance , or refocus their view to the long term . Egypt and the parts of Turkey broadly considered to be part of the Middle East are bridge plays . The former has shown itself capable of quick comebacks after a variety of troubling incidents , while the latter has yet to see its full potential plumbed . They are known quantities with measurable upside from where they stand now in terms of their hotel stock and tourism .
Big ‘ if ’ in Africa Africa is the one big radical in the region ’ s profit equation . If the world ’ s second-largest continent starts to make consistent progress toward political and economic stability , the prospects for hotel development would be enormous . But that ’ s a big “ if .”
For now , there are some bright spots worth a due-diligence trip . “ Considered wisdom says that the countries to watch for the future in sub-Saharan Africa are Nigeria , Ghana , Ethiopia , Angola and Kenya ,” says Trevor Ward , managing director , W Hospitality Group , Lagos .
“ Destinations such as Nairobi , Addis- Ababa and South Africa generally are attracting more investment and more international travelers . As a result , they are becoming priority markets for hoteliers ,” says Gerald Lawless , executive chairman , Jumeirah Group , Dubai .
“ We are seeing increased investment in Angola , Nigeria and Ghana ,” says Rudi Jagersbacher , president , Hilton Worldwide , Middle East & Africa .
Ward cautions that hotel companies will need to take a long look at each
32 HOTELS September 2012 www . hotelsmag . com