STR’s preliminary March 2018 data for hotels in Jeddah, Saudi Arabia, indicates mostly negative performance due to a spike in supply.
Based on daily data from March, Jeddah reported the following in year-over-year comparisons:
- Supply: +12.9%
- Demand: -0.9%
- Occupancy: -12.3% to 48.8%
- Average daily rate (ADR): -5.6% to SAR674.54
- Revenue per available room (RevPAR): -17.2% to SAR329.17
STR analysts note that occupancy levels have been declining significantly over the past two years due to supply growth. With room rates dropping as well, RevPAR has now decreased in the first quarter of each of the past three years.
STR will release full March results later this month. The January edition of STR’s Market Forecast and the 2017 Global Hotel Study are now available.
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