Abu Dhabi to get 2,300 more hotel rooms this year, says JLL
The UAE capital saw a 20% increase in hotel guests in the first quarter of 2015, according to official figures
The Abu Dhabi hospitality industry is experiencing positive growth with 2,300 hotel rooms set to enter the market this year, according to a report by real estate firm JLL.
Around 5,200 rooms are in the pipeline for 2017, the report found. The UAE capital has also seen a 20% increase in hotel guests in the first quarter of 2015, as compared to the same period last year, according to the Abu Dhabi Tourism and Culture Authority.
Nearly half (45%) of the current supply of hotels in Abu Dhabi are in the 5-star segment, JLL said. One of the major hotel openings slated for this year is the Bab Al Qasr Hotel near the Presidential Palace, which will include 677 rooms and a private beach.
Chiheb Ben Mahmoud, executive vice president, Head of Hotels & Hospitality Group Middle East & Africa at JLL, said that over 70% of the hotel room supply in Dubai and Abu Dhabi are in the 4 and 5-star category, with the proportion being higher for Abu Dhabi than for Dubai.
Hotel construction is already underway in Abu Dhabi, JLL said, and the total room count in the capital will increase from 20,700 at present to 26,000 by 2017. Optimism for the city for the rest of the year has led authorities to increase the targeted number of hotel guests to 3.9 million instead of 3.5 million for 2015.
JLL attributes the positive growth in the hospitality industry to several government initiatives geared towards boosting tourism, such as the expansion of the airport and national carrier Etihad Airways, improvement of leisure offering and attractions, and hosting large-scale events like the Formula 1 Abu Dhabi. Attractions to be launched in coming years include the Louvre and Guggenheim museums on Saadiyat Island and the upcoming Warner Bros theme park on Yas Island.
