Time to take a piece of the action in Dubai’s hospitality

surprising that the industry witnessed strong growth over the past decade, with its direct contribution to the country’s gross domestic product (GDP) up by a whopping 138 per cent between 2007-17.

In 2018 alone, Dubai’s 716 hotels offered 116,000 keys to 15.9 million hotel guests, recording a 76 per cent average occupancy. Thanks to an array of contributing factors including the launch of some major hospitality projects, these numbers are set to soar even higher. The emirate’s attractiveness in the eyes of foreign investors is rising owing to its secure regulatory environment, stable government, world-class infrastructure and strategic location, thereby attracting leading hospitality brands.

Given this, large volumes of investments are expected into hotels, hotel apartments, resorts and spas, wellness centres, restaurants and travel management ventures, thus also increasing the number of job opportunities in the sector.

Fast-track approach

Keeping up with of development, the the pace hospitality sector is also making strides in the adoption of technology, which further adds to its competitiveness. As travellers become more savvy, they expect the same level of connectivity and access within the hotels they check into. Furthermore, hospitality establishments are now able to offer more personalised services to guests by harnessing the potential of big data.

Another interesting trend is the increased integration of eco-friendly practices by the sector, thanks to rising awareness levels of hotel guests about environmental issues and their desire to engage with businesses that operate ethically. With a number of hospitality groups now promoting and highlighting their eco-friendly aspects, sustainability is definitely one of the most noticeable trends.

Pulling its weight

Looking ahead, Dubai’s appeal as an ideal hospitality investment destination is poised to rise further. For instance, the travel and tourism industry that is set to contribute Dh312.4 billion to the UAE GDP by 2027 alone is capable of accelerating this growth to a significant extent. Besides, Expo 2020 has already set off an exciting phase for Dubai’s real estate by attracting investments.

With home-grown investments contributing to a strong market and economic stability, more opportunities for hospitality investments are rising organically. By all means, this is the ideal time to take your investment aspirations to new heights by grabbing promising opportunities.

■ Salem Ahmad Almoosa is Chairman and General Manager of Falconcity of Wonders.