Supply growth drives down performance to Jeddah hotels

STR’s preliminary November data for Jeddah, Saudi Arabia, indicates negative performance comparisons affected by continued supply growth.  

Based on daily data, Jeddah reported supply growth of 8.1 percent and demand growth of 3.4 percent year over year.

According to STR, the strong supply continues to affect performance levels in the market. Occupancy at Jeddah hotels fell 4.3 percent to 43.9 percent, while average daily rate dropped 10.1 percent to SAR624.69. Revenue per available room dropped 14 percent to SAR274.35