Hotels in MEA region see big growth in occupancy rates

By Rahul Vaimal, Associate Editor
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UAE Hotel
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According to STR Global, a London-based hotel data benchmarking company, the hotels across the Middle East and Africa (MEA) region witnessed continued occupancy improvements in September but sustained at low overall levels.

Last month, the Middle East region saw its occupancy rates reach 43.3 percent, while the average daily rate (ADR) dropped 13.5 percent to $98.54 and revenue per available room (RevPAR) plunged 40.1 percent to $42.64, STR said in its data for September 2020.

On the Africa scenario, the industry expert said that last month its occupancy rates collapsed 61.2 percent, while its RevPAR reported a 60.1 percent drop to $42.64. There has, however, been a marked increase in its September ADR, which grew by 2.7 percent to reach $99.99, it added.

As per STR, the MEA saw its lowest absolute occupancy and RevPAR levels for any September on record amid month-over-month improvements.

Saudi Arabia saw its hotels in the Middle East region make continuous occupancy improvements in September, with their figures standing at 34.4 percent, down 32.5 percent compared to last year.

The ADR of the Kingdom stood at $135.68 (SR508.8), down 12.5 percent over last year, while its RevPAR dropped 41 percent to $46.61 (SR174.78), the STR report said.

The main performance metrics of Saudi Arabia were marginally lower than August when a minor boost was given by summer staycations and domestic demand following Eid Al Adha, it added.

The South African market saw a marked improvement in its occupancy rates in the Africa region, reaching 27.4 percent for September, down 59.6 percent last year, the report said.

The country’s ADR stood at $60.64 (ZAR982.48), down 17.5 percent last month, while its RevPAR fell 66.7 percent to $16.59 (ZAR268.75), the industry expert said.

Each of the three main performance metrics since March in South Africa was the highest for any month, it concluded.


STR founded in 1985, provides the global hospitality industry with premium data benchmarking, analytics and business insights. STR maintains a presence in 15 countries with a corporate North American headquarters in Hendersonville, Tennessee, an international headquarters in London, and an Asia Pacific headquarters in Singapore. CoStar Group Incorporation, the leading provider of commercial real estate information, analytics and online marketplaces, acquired STR in October 2019.