Dubai’s average hotel occupancy one of the highest in the world in 2022

Tuesday, February 7, 2023

According to the latest data by Dubai’s Department of Economy and Tourism (DET), Dubai’s average occupancy for the hotel sector in 2022 stood at 73 per cent, one of the highest in the world, rising from 67 per cent in 2021. The figure is just short of the 75 per cent occupancy in the pre-pandemic period of 2019.

Issam Kazim, CEO of Dubai Corporation for Tourism and Commerce Marketing, said, “Our partners played a pivotal role in achieving the No.1 ranking with their contributions to both Dubai’s tourism growth and the sector’s global rebound, as well as their active participation in all our global campaigns and marketing activities that have driven consideration for Dubai as the destination of choice for global travellers. The exceptional support of our public and private sector stakeholders and partners will be instrumental in raising our ability to showcase our unmatched offering designed to meet the diverse preferences and budgets of international travellers, as we gear up to welcome more visitors to Dubai in 2023.”

The high occupancy is particularly noteworthy as it was achieved despite a 16 per cent increase in room supply in 2022 compared to 2019.

Dubai’s hotel inventory at the end of December 2022 comprised 146,496 rooms at 804 hotel establishments, compared to 126,120 rooms available at the end of December 2019 across 741 establishments. The total number of hotels in 2022 marked a six per cent growth over 2021, with 755 hotel establishments offering 137,950 rooms.

The hotel sector outperformed pre-pandemic levels across all other key measurements – Occupied Room Nights, Average Daily Rate (ADR) and Revenue Per Available Room (RevPAR).

Occupied room nights reached a record high of 37.43 million in 2022, registering a 19 per cent increase against 2021 (31.47 million) and a 17 per cent increase over the pre-pandemic period of 2019, which yielded 32.11 million occupied room nights.

The ADR of Dh536 in 2022 surpassed the ADRs for both 2021 (Dh451) and 2019 (Dh415), with 19 per cent and 29 per cent increases, respectively. The hotel sector’s robust performance is also evident in its RevPAR growth – an increase of 30 per cent compared to 2021 (Dh391 vs Dh301) and an increase of 25 per cent over the pre-pandemic period of 2019 (RevPAR of Dh312).

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