Hotels in Jeddah recorded its lowest December occupancy rate, according to STR analysts.
Jeddah’s preliminary December 2017 data for hotels revealed significant supply growth and negative performance, the report said.
According to the daily data from December, Jeddah hotels reported an 8.4% slump in occupancy to 45.1%, its lowest December mark since records began. Additionally, while the figures showed a rise in supply by 7%, demand increased only by 2%.
STR analysts also reported that Jeddah’s ADR fell by 4.1% to SR694.85, the lowest for December since 2010.
Revenue per available room (RevPAR) also dipped by 12.1 percent to SR313.45.
According to the report, STR analysts also noted that while room demand has fallen, a rise in new supply continues to worsen occupancy levels and pressure rates.