The supply of hotels in Abu Dhabi is outstripping demand, according to figures released by STR.
The supply of hotels in the UAE capital increased by 3.9% in a year-on-year comparison for January 2017. The demand increased by 2.4% which means there is a shortfall of 1.5% between the two.
The occupancy levels also dropped in January by 1.4% to 74.2%.
A statement issued by STR read: “STR analysts note that Abu Dhabi’s ADR levels were once again pressured by supply growth in the market.
“However, the market’s hotels did record a significant uptick in RevPAR (+23.6%) on the last day of the month, mainly due to the Global Space Congress (31 January-1 February). Occupancy around the event reached 90.2% on 30 January and 89.8% on 31 January.”
