In Dubai 71,000 New Hotel Rooms in the Pipeline

Latest report commissioned by The Big 5 reveals USD 98.3 billion worth of hospitality, leisure and recreation projects in the UAE
Dubai, Oct 26, 2016 – The UAE leads the booming hospitality and leisure-recreation market in the GCC, according to latest BNC report commissioned by The Big 5. The combined value of the hospitality, and the leisure and recreation sectors in the region, currently valued USD 178.8 billion, is expected to increase driven by tourism, a growing population and global events.

Big 5 Event Director, Josine Heijmans
Presenting the findings of the “GCC Hospitality & Leisure-Recreation 2016” report, The Big 5 Event Director, Josine Heijmans, commented: “In the GCC, several state-led initiatives are sponsoring construction projects to diversify the local economy. With tourism contributing to the 8.5% of its GDP by the end of 2016, the UAE is vigorously investing on infrastructure projects to welcome more and more visitors.”
The Dubai Expo 2020, for example, is expected to bring 25 million visitors, 70% of whom will come from abroad. With this in mind, Dubai is building 71,000 new hotel and hotel apartment rooms. The Emirate will increase the offer of rooms from 94,000 on hand at the start of 2015 to approximately 164,000 at the time of the Expo, BNC Report shows.
According to Charlie Taylor, Jumeirah’s Group Director of Brand Communications, the popularity of the UAE as a destination has developed rapidly over the years. “Demand continues to grow as new attractions come on stream and more choices for accommodation, dining and entertainment become available.”
Expo 2020 Plan
Expo 2020 Plan
Jumeirah has a robust and growing pipeline of new openings in the region. Jumeirah Al Naseem, with its 430 rooms, is set to open in Dubai on 1 December 2016, followed by Jumeirah at Saraya Bandar Jissah in Oman and Jumeirah Sa’adiyat Island in Abu Dhabi, both due to open in 2017. “One of the driving forces for development in Dubai is the tourism vision looking at attracting 20 million visitors by 2020. This, together with an expected 25 million visitors to the Expo 2020 site, means that Dubai needs to continue to develop the hospitality sector to accommodate the demand,” Mr. Taylor added.
As per the BNC report, the GCC hospitality sector, comprising of projects related to hotels, hotel apartments and resorts, is worth USD 126.8 billion. The leisure and recreation sector, including projects related to cinemas, theatres and auditoriums, golf courses, race courses, parks, stadiums, theme and water parks, animal reserves and zoos, sports clubs and facilities, museums and galleries, has a combined estimated value of USD 52.0 billion.
There are approximately 1,692 hospitality and leisure-recreation projects in the GCC, according to the BNC Project Intelligence Database. The UAE has the highest market share: it makes up approximately 42% of all hospitality and leisure-recreation projects in the region, or the 55% in terms of value (USD 98.3 billion).
Over 200 hospitality and leisure-recreation projects are worth at least USD 100 million each in the United Arab Emirates, with a combined value of USD 83.8 billion. These include Firdous Sobha in Umm Al Quwain (USD 6.8 billion), Dubai Eiffel Tower (USD 1.5 billion) and Royal Atlantis Resort (USD 1.4 billion) in Dubai.
“The GCC Hospitality & Leisure Recreation 2016 report shows that many projects are in the initial stages of construction. This indicates a strong pipeline in the near future, and positive prospects for construction industry professionals in the region,” Ms. Heijmans stated. “The Big 5 2016 will capitalise on these opportunities offering both visitors and exhibitors a unique platform to network with key decision makers and industry professionals, sourcing thousands of products from international and local manufacturers.”
Running from Nov 21 to 24, 2016, the largest, most influential and renowned construction industry event in the Middle East, is expected to attract 75,000 participants, hosting over 3,000 exhibitors across the entire Dubai World Trade Centre venue. Alongside the exhibition, The Big 5 2016 will offer 75 free to attend and CPD-certified workshops, 30 Live Demonstrations, and a one day “Excellence in Construction Summit” on Nov 22. With the strategic partnership of the Dubai Economic Council (DEC), the Summit will gather 500 industry leaders to discuss latest technologies, innovations and best practices in construction.
“Our endorsement of The Big 5 2016 and the Excellence in Construction Summit mirrors the Dubai Economic Council’s keenness to support and contribute to all activities that enhance Dubai’s economy,” H.E. Hani Rashid Al Hamli, Secretary General of the DEC, said. “The Big 5 is the largest construction event in the Middle East, and its Summit is a rich opportunity for all stakeholders who look forward to develop the construction industry.”
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