Preliminary November 2017 data from STR reported that two cities each in the Middle East and Europe saw significant growth both in performance and supply in the regions.
Middle East
In the Middle East, both Dubai, UAE and Jeddah, Saudi Arabia reported significant growth in supply. However, Jeddah fell behind when demand came into play.
Demand (roomnights sold) for hotel rooms in Dubai reached an all-time November high, growing 2.7 percent. Occupancy was also above the November average at 83.6 although it dropped 2.7-percent to 87 percent. Occupancy also surpassed 90 percent for four nights in a row during the Dubai Airshow, which was held between Nov. 12 and 16. According to STR analysts, supply growth of 5.6 percent drove the year-over-year decreases in occupancy and ADR, which dropped 1.1 percent to AED754.11. In response, RevPAR dropped 3.8 percent to AED655.84.
Jeddah's supply growth (9.8 percent) was no help to keep performance afloat. Demand dropped 9.3 percent while occupancy declined 17.4 percent to 45.7 percent. In response, ADR saw a 9.7-percent drop to SAR702.62, driving RevPar down 25.4 percent to SAR321.06. The city's hotels haven't seen November RevPAR levels this low since 2007.
Europe
While both Berlin, Germany and London, England saw significant growth in supply and performance, the totals were mixed.
Despite the city's year-over-year declines, Berlin's hotels reported solid performance levels. Supply grew 1.8 percent although demand dropped by 1.9 percent. STR analysts attributed the drop in demand to the shuttering of Air Berlin in late October. In response, occupancy dropped 3.6 percent to 77.9 percent, the second-highest for any November on record in Berlin. RevPAR also saw declines 2.3 percent to €73.73. However, ADR saw a 1.3-percent increase to €94.60, the highest for a November in the city.
London's hotels recorded similar results seen in Berlin. Supply grew 33 percent as demand increased 0.3 percent. STR analysts attribute the decline in occupancy (2.8 percent to 83.7 percent) to year-over-year supply growth outweighing a slight rise in demand. Hotels also saw a rise in ADR of 1 percent to £153.96 in November for the 13th consecutive month. During the World Travel Market London event on Nov. 7, 2017, the city saw the highest occupancy at 95.5 percent and ADR at £177.25 of the month. However, RevPAR still managed to fall 1.8 percent to £128.87 percent.