Dubai’s hospitality sector booms, number of hotel rooms to reach 154,000 in by 2023
An additional 9,200 hotels rooms are to be expected in Dubai by the end of 2023, according to a new property report.
According to Knight Frank’s latest analysis, by the end of 2023, approximately 154,000 rooms will be operating in Dubai’s hospitality sector, marking a 6.4 increase from 2022.
Leading industry giants are driving this growth, with Accor securing the top spot, which offers 71,820 existing rooms and has 49,510 more in the pipeline expected for completion by 2030.
Following closely are Marriott International, with 63,790 existing rooms and 52,790 planned; IHG Hotels & Resorts, with 35,140 current rooms and 22,120 in development; Hilton Worldwide, with 33,450 rooms and 39,860 upcoming; Radisson Hotels, offering 22,830 rooms and planning an additional 11,651; and Rotana Hotels, with 16,976 rooms and 10,807 in development.
Faisal Durrani, partner and head of research for MENA at Knight Frank, said: “The UAE’s hotel inventory continues to expand, helping to support city’s such as Dubai, which has emerged not only as the world’s most popular destination for two years running according to Trip Advisor, but the emirate has also earned the accolade of having the world’s highest occupancy levels during the first half of 2023 at 78 percent.”
Turab Saleem, Partner, head of hospitality, tourism and leisure advisory at Knight Frank, said Dubai continues to dominate the UAE’s hospitality landscape, with 70 percent of the country’s upcoming supply concentrated in the city.
“In H1 2023, Dubai welcomed 8.6 million tourists, marking a significant 20 percent increase from 2022. This surge underscores Dubai’s enduring appeal as a global tourist hotspot. Internationally branded hotels constitute a 67 percent of Dubai’s existing supply, highlighting the city’s global appeal. A substantial 70 percent of the under-construction and final planning supply in Dubai belongs to the luxury and upper upscale hotel segments, catering to discerning travellers.”
