REGIONAL REPORT
EGYPT PIPELINE as of July 16 , 2019
|
PROJECTS |
ROOMS |
Total pipeline |
59 |
13,494 |
Under construction |
20 |
4,739 |
Next 12 months |
24 |
5,766 |
Early planning |
15 |
2,989 |
Open hotels |
487 |
127,676 |
PIPELINE BRAND LEADERS |
PROJECTS |
ROOMS |
Hilton |
7 |
1,831 |
Swissotel |
6 |
1,237 |
Fairmont Hotels |
4 |
1,207 |
Swiss-Belhotel |
3 |
900 |
Movenpick |
3 |
900 |
Hilton Alexandria King ' s Ranch , Cairo
and Hurghada markets in particular witnessed a 22 % and 26 % growth in occupancy versus the previous year , respectively .” According to the report , Alexandria was the standout market in Q1 2019 , up 10 % in occupancy and 27 % in ADR .
Looking at current data , Harper reports that 2019 is up strongly compared to 2018 , already an improvement on previous years . He says occupancy levels across Egypt are up 11.1 %, with Cairo up 6.8 %, Hurghada up 4.1 % and Sharm El Sheikh up 16.5 %.
“ That said , Sharm is still underperforming , with only just over 55 % occupancy ,” Harper adds .
Combined with a returning international
TOP FIVE PIPELINE CITIES PROJECTS ROOMS
Cairo 21 4,636 Sharm El Sheikh 8 2,027 Al Alamein 6 1,080 Hurghada 5 1,675 Ain El Sokhna 4 850
Source : Lodging Econometrics
market , including tourists who traveled to Egypt for the 2019 Africa Cup of Nations through June and July , 2019 is expected to be another year of positive hotel performance . “ Our forecast for 2019 is expected to be steady across all markets , driven by the more stable economic outlook ,” Colliers ’ Yousry says .
Marriott ’ s chief development officer for Middle East & Africa , Jerome Briet , tends to agree . “ As a market , there is considerably more stability and optimism in Egypt than previous years . Business in the country has witnessed somewhat of a comeback ; however , we believe the market has not reached its full potential yet .”
“ AS A MARKET , THERE IS CONSIDERABLY MORE STABILITY AND OPTIMISM IN EGYPT THAN PREVIOUS YEARS . BUSINESS IN THE COUNTRY HAS WITNESSED SOMEWHAT OF A COMEBACK ; HOWEVER , WE BELIEVE THE MARKET HAS NOT REACHED ITS FULL POTENTIAL YET .”
– JEROME BRIET , CHIEF DEVELOPMENT OFFICER , MARRIOTT INTERNATIONAL
36 hotelsmag . com September 2019