(MENAFN - Khaleej Times) The UAE hospitality industry will rebound this year with occupancy going up across the board following a dismal 2020 due to the Covid-19 pandemic as the long-term outlook for the sector remains intact, say analysts.
However, they warned that the hoteliers need to expand their revenues streams, especially the small-and-mid-tier operators, to survive in the market getting tougher due to cut-throat competition in the market.
Since the UAE hotel sector s long-term outlook remains intact, analysts believe that investments into hospitality sector will not be affected by the short-term impact of the pandemic on the sector.
It s believed that the slower recovery of tourism will also pose a challenge for the local hoteliers. Though the vaccine is being rolled out at an exceptionally fast pace in the UAE, most of the other countries still lag behind in their vaccine inoculation, which will play a key role in the post-pandemic recovery of the sector.
UAE hotels revenues, occupancy likely to move lower this year
DUBAI, February 2, 2021 UAE hotels braved a tough year in 2020 and are looking to 2021 with hope following the vaccine rollout. However, increased upcoming supply amid a slow revival in demand will see revenue and occupancy levels likely move lower in 2021, according to Cavendish Maxwell, a leading property consultancy and chartered surveying firm providing services in the Middle East and Africa. As expected, 2020 was a tough year for the hospitality industry in the UAE, with several hotels in shuttering on a temporary or permanent basis. However, some others have used the pandemic as an opportunity to revisit and cut operating costs thereby improving margins not only for 2020 but beyond. As a result, they have successfully brought down the occupancy rate required to break-even, which is lower than the typical 40 per cent, said the expert in its Q4 2020 UAE Property Market Report, containing key da
Cavendish Maxwell boosts consulting team with new appointments
MANAMA, February 14, 2021 Cavendish Maxwell, a leading property consultancy and chartered surveying firm in the Middle East, has expanded its strategy and consulting team with multiple appointments. The new team brings significant experience covering real estate consulting, operations, and investment in sectors spanning residential, commercial, industrial, retail, education, hospitality, and leisure and entertainment. The team possesses numerous qualifications from leading real estate educational institutions around the world, said the statement from the company. PP Varghese has been appointed as partner and will lead Cavendish Maxwell’s strategy and consulting team. An industry veteran, Varghese bring with him with over 17 years’ experience gained through advising government, private and institutional clients on single-use, mixed-use, standalone, and master planned projects.