Tag Archives: 30k hotel rooms in KSA

A total of 32,621 hotel rooms are currently under construction in the kingdom of Saudi Arabia, as the kingdom prepares to meet pent-up demand from pilgrims returning to its holy cities. That’s according to the latest research from STR, commissioned by Arabian Travel Market (ATM) 2022, which will take place at Dubai World Trade Centre (DWTC) from Monday 9 to Thursday 12 May. The analysts found that the country’s revenue per available room (RevPAR) recovery index stands at 52 percent, noting that the absence of millions of Muslim pilgrims has significantly impacted hotel performance in Saudi Arabia. Medina and Makkah witnessed RevPAR rates of just 33 percent and 24 percent, respectively, in 2021. Although significantly lower than pre-pandemic levels, KSA’s hotel performance registered year-on-year gains in 2021 and the sector’s recovery is expected to persist throughout the coming year, with pent-up demand driving further improvements as Covid-related restrictions continue to ease. Danielle Curtis, Exhibition Director ME – Arabian Travel Market, said: “As was the case for markets the world over, the global pandemic had a major impact on Saudi Arabia’s hospitality sector. Even so, STR’s findings clearly point to an ongoing and sustained recovery, and we are looking forward to exploring the vast untapped potential of the kingdom’s burgeoning tourism sector at ATM 2022.” Hotels in Al Khobar are currently outperforming those in Saudi Arabia’s other major cities, with RevPAR surpassing pre-pandemic levels in 2021. Riyadh, Dammam and Jeddah, meanwhile, recorded recovery index rates of 88 percent, 85 percent and 56 percent, respectively, last year. In terms of outbound travel, research conducted by Colliers International shows that overseas journeys from the kingdom are set to grow to 6,075,000 in 2022, …

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