- Casablanca hotel performance down due to supply influx
- Continued supply growth pushes Dubai performance to significant lows
U.S. dollar constant currency, Q2 2019 vs. Q2 2018
• Occupancy: +2.6% to 61.7%
• Average daily rate (ADR): -7.2% to US$147.44
• Revenue per available room (RevPAR): -4.8% to US$91.03
• Occupancy: +2.2% to 57.6%
• Average daily rate (ADR): +4.0% to US$106.53
• Revenue per available room (RevPAR): +6.3% to US$61.33
Local currency, Q2 2019 vs. Q2 2018
• Occupancy: -7.6% to 58.8%
• ADR: -6.4% to MAD989.65
• RevPAR: -13.5% to MAD582.15
The absolute ADR and RevPAR levels were the lowest for a Q2 in STR’s Casablanca database. STR analysts note this is the first Q2 in Casablanca that showed a double-digit increase in supply (+15.0%)—performance levels were negatively affected as a result. When looking at individual months, May showed the market’s weakest performance across the three key performance metrics: occupancy (-27.8%), ADR (-12.3%) and RevPAR (-36.7%).
• Occupancy: -0.9% to 67.1%
• ADR: -12.3% to AED513.73
• RevPAR: -13.1% to AED344.65
Supply has now outgrown demand in Dubai for six consecutive quarters. STR analysts note that the occupancy level was the lowest for a Q2 in Dubai since the time of the economic crisis in 2009, while the absolute ADR and RevPAR levels were the lowest since 2003. June was the strongest month of the quarter with a 30.5% increase in demand, which helped monthly performance levels.
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