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Dubai: Hotels near popular winter attractions nearly fully booked ahead of break

International arrivals from Europe and CIS countries driving hotel occupancy rates beyond 80 per cent

Published: Wed 30 Oct 2024, 7:04 PM

Updated: Thu 31 Oct 2024, 7:41 PM

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Dubai's hotels and short-term rental properties, particularly those close to popular attractions, are booked to almost total capacity as the city prepares for festive celebrations and major events as the winter season rolls in.

Many leading hotel groups in the UAE are seeing a noticeable increase in occupancy rates — an average rise of 5-6 percentage points — due to the seasonal shift in the country.

Industry experts highlighted that the UAE is expecting an influx of guests, particularly from Western Europe, ahead of the long winter break.

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Convenience, reliability

Specialists in the hospitality sector said guests seek convenience and reliability when choosing accommodation, prioritising hotels that are ideally located near popular winter attractions and outdoor events.

Nadia Purkayassta, Regional Head of Revenue Management, Premier Inn Middle East, explained why guests prefer certain locations. “For example, Premier Inn Dubai Silicon Oasis offers easy access to Global Village and Emirates Dubai 7s, while Premier Inn Dubai Al Jaddaf is close to the Al Fahidi Historical Neighbourhood. Guests at Premier Inn Abu Dhabi Capital Centre are within easy reach of the iconic Sheikh Zayed Grand Mosque, and Premier Inn Dubai Barsha Heights offers proximity to some of Dubai's most beautiful beaches.

“The festive season is looking very strong in terms of occupancy as well as school holiday periods in Europe. The GCC market continues to see a trend toward last-minute bookings, influenced by the regional conflict. Additionally, as the weather changes in Europe and school holidays are approaching, we are welcoming more international guests from the UK, France, and Germany,” she added.

Hotels are also strategically adjusting prices and offering smart value-added deals to attract guests as the weather in the country improves. “We’ll be launching a Black Friday sale across all Premier Inn properties from 21 November to 4 December, offering up to 40 per cent off,” said Purkayassta.

Avoiding traffic to maximise time

Even those looking to rent homes for short-term stays prefer properties located close to iconic locations to avoid navigating the traffic.

Vinayak Nahtani, CEO of bnbme Holiday Homes, said, “People like to live in close proximity to Burj Khalifa, Museum of the Future, or Dubai Eye at Palm for the convenience and unique experience they offer. Staying near these landmarks allows easy access to top attractions, cultural activities, dining, and shopping, making it ideal for tourists and business travellers looking to maximise their time."

Occupancy rises by 5-6 percentage

The positive trend in the hospitality industry is also linked to the General Civil Aviation Authority (GCAA) collaborating with national airlines and partners to explore new market opportunities. Additionally, world-class events and exhibitions being hosted in the country are contributing to this promising outlook.

Thomas Schmelter, Area General Manager of IHG Hotels at Dubai Festival City, said, “We have certainly seen a positive impact on occupancy levels with the arrival of cooler weather. Over the past two weeks, occupancy has risen by an average of 5-6 percentage points compared to the previous month. By late October, we expect occupancy levels to peak as Dubai enjoys some of the best weather globally. During this period, we typically see a significant rise in international leisure arrivals, especially from Europe and the CIS, driving occupancy rates beyond 80 per cent — a 10-15-point increase over the quieter summer months.”

Inbound corporate travel

Industry professionals also pointed out that inbound corporate travel to Dubai—primarily business trips to the city—is expected to see further growth by the end of the year.

Lyndon Travasso, Assistant Director of Revenue, Park Regis Kris Kin Hotel Dubai said, “In contrast to 2023, there has been an increase in the volume of corporate stays by seven per cent and revenue by 21 per cent, thereby impacting the overall average daily rate (ADR) for this year. Whilst companies used to make their bookings primarily via third party agents, we have witnessed a notable change this year with more corporate related bookings made directly with the hotels. Along with Dubai Government and Dubai Tourism’s concerted efforts and initiatives to host world-class events and exhibitions, the inbound corporate segment travel is anticipated to increase towards the end of the year by a further 5 per cent.”

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