(MENAFN- Khaleej Times) Dubai - Hotels in the Middle East and Africa, or MEA, region reported a 3.8 per cent increase in occupancy to 63.3 per cent, a 1.0 per cent increase in average daily rate to $165.97 and a 4.9 per cent increase in revenue per available room to $105.13 in 2014, according to data compiled by STR Global.
"RevPAR growth was mostly driven by occupancy growth; however, when looking across the region, it has been a very mixed picture," said Elizabeth Winkle, managing director of STR Global.
"The Middle East has had one of the lowest supply growths in the last six years. Lower supply coupled with a nineper cent increase in demand, we've seen a positive impact on occupancy, which reached 68.8 per cent. This level was last seen in 2008; although the rate perspective in US dollar terms has remained flat this year and is still about $28.00 away from its pre-recession peak in 2008. It is important to note the product offering in the Middle East has changed dramatically in the past five years with midscale and economy hotels opening in many markets, thus changing the market mix," Winkle said.
Northern Africa achieved RevPAR growth of 15.1 per cent. "This was driven primarily by the recovery seen in Egypt, where year to date the country has experienced a tremendous RevPAR increase of 32 per cent resulting from occupancy and ADR growth," Winkle said.
In December, the region reported a 3.9 per cent increase in occupancy to 61.9 per cent, a 3.2 per cent increase in average daily rate to $183.35 and a 7.3 per cent increase in revenue per available room to $113.53. Abu Dhabi had the highest increase in ADR (+9.7 per cent to $159.85).
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