Abu Dhabi hotels’ room rates fall to lowest since September 2021

Hotels in Abu Dhabi saw an improvement in room occupancy in August, but room rates fell to their lowest level in about a year.

Hotel operators across the emirate posted an average occupancy of 65.2% during the month, an improvement over the previous month, but slightly below pre-pandemic occupancy, according to hotel industry data provider STR.

Despite an increase in occupancy, guests were spending less on hotel rooms, with daily rates averaging AED335.49 ($91.34).

The average daily rate (ADR) in the UAE capital is 5.6% higher than the pre-pandemic comparable, but it was the lowest for any month since September 2021, the hospitality consultancy said.

The revenue per available room (RevPAR) was pegged at AED218.90, higher than the prior month and 2.7% above the August 2019 level.

August is a traditionally slow period for the UAE hospitality industry.

In the months prior, Abu Dhabi Airports reported a “surge” in demand, with around 6.3 million passengers recorded across the emirate’s airports between January and June this year.

At Abu Dhabi International (AUH) alone, scheduled passenger flights increased by 94% compared to the previous year, according to Abu Dhabi Airports.

(Reporting by Cleofe Maceda; editing by Seban Scaria)

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