Saudi Arabia leads room pipeline for Middle East and Africa

STR’s June 2016 Pipeline Report showed solid increases in the hospitality scenes for both the Middle East and Africa, with double-digit year-over-year improvements.

The report listed 154,576 rooms in 550 hotels under contract in the Middle East and 55,736 rooms in 289 hotels under contract across Africa. 

Of the overall MEA region, Saudi Arabia has the most rooms in construction at 35,770 rooms in 81 hotels. The United Arab Emirates followed with 26,989 rooms in 93 hotels. Qatar and Egypt both reported more than 5,000 rooms in construction at 7,125 rooms (in 30 hotels) and 6,095 rooms (in 18 hotels).

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The under-contract total in the Middle East represents a 23.5-percent increase in rooms in that category compared to the same month last year and a 14.1-percent year-over-year increase in rooms in construction. The Middle East reported 81,951 rooms in 256 hotels under construction for the month.

The under-contract total in Africa, meanwhile, represents a 29.1-percent increase in rooms in that category compared with June 2015, and a 31.5-percent year-over-year increase in rooms in construction. Africa has 30,703 rooms in 157 hotels under construction for the month.

STR’s Under Contract data includes projects in the In Construction, Final Planning and Planning stages, but does not include projects in the Unconfirmed stage.

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The MAPP report lets hoteliers identify forward-looking performance trends across their own portfolios and other markets.