Half of Dubai upcoming new hotel rooms are 3 star and lower rated
A new report published by Jones Lang LaSalle (JLL) exclusively for The Hotel Show Dubai 2015 reveals today that almost 50% of the 3,600 new hotel rooms to enter the Dubai market in the final months of 2015 have a 3-star or lower rating.
JLL report a current supply of almost 65,000 hotel rooms in Dubai in the first quarter of 2015, 44% are 5-star rated. Now, the near-saturated luxury market is set to be rivalled by a supply of lower-graded properties with more competitive room rates, 44% of which are forecast to be graded 3-star or less and a total 69% at 4-star or less.
Dubai’s appetite for luxury is still present as alongside the 5-star Palm Tower on Palm Jumeirah, some of the most luxurious properties the city has seen will open in coming years. 2015 openings include 5-star Palazzo Versace at Dubai Creek, movie-themed Paramount Hotel in Downtown, Starwood’s first St. Regis Dubai on Sheik Zayed Road, and the first Hard Rock Hotel in the Middle East in Marina 101, the second tallest building in the UAE behind the Burj Khalifa.