hotec me 2013 seminar g wilkinson viability dist

www.viability.ae…when diligence is due

GCC pipeline: 5 hot development marketsJune 1st, Fairmont Bab Al Bahr, Abu Dhabi

Damac Towers by Paramount, Dubai


“Let me look into your future…”


A shopping list for Middle East hotel suppliers…


A HIT list for Middle East hotel suppliers!!


Viability’s annual GCC future hotel survey: methodology

• 13th year of survey.• New approach focussing on 5 GCC ‘hot markets’:

1. Abu Dhabi2. Dubai3. Doha4. Makkah5. Riyadh

• All 110 chains active in the GCC are canvassed directly.• All letting units included (rooms, suites, apartments & villas). • Excluded:– All rumoured projects.– All unsigned projects.– All projects with unconfirmed room counts, opening dates, etc.– All single owner-operated properties.

No need to take notes!Copies of this Presentation available Afterwards


GCC map showing 5 hot markets

15 3

42

Key:

1. Abu Dhabi2. Dubai3. Doha4. Makkah5. Riyadh


City supply comparison: existing properties & letting units

Abu Dhabi Doha Dubai Makkah Riyadh0

100

200

300

400

500

600

700

800

900

141 128

599

887

336

Abu Dhabi Doha Dubai Makkah Riyadh0

20,000

40,000

60,000

80,000

100,000

120,000

140,000

24,419

8,511

80,414

123,344

15,331

Hotels & Hotel Residences Keys

Source: Government data, latest years. Makkah and Riyadh data is for Provinces, the former including Jeddah


City performance comparison: Q1 2013 occupancy (%)

Abu Dhabi Doha Dubai Makkah Riyadh0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

70%66%

88%

62% 61%

Source: STR Global, based on a selection of luxury hotels only


Abu Dhabi

17%

Doha14%

Dubai32%

Makkah25%

Riyadh

13%

Yr 201322%

Yr 201425%Yr 2015

25%

Yr 201621%

Yr 20176%

5 star70%

4 star23%

3 star7%

Summary• 189 chain properties with 64,063 keys opening in the 5 cities by

2017• Keys distributed as follows, by…

City

Year

Star Rating


Chain ranking by pipeline keys in the 5 cities combined

Hilton

Starw

ood

Millenn

iumMarr

iott

Accor

Movenp

ick

Rotana

Damac

The A

ddres

s

Best W

estern IHG

Anjum Hote

lsHyat

t

Wyndha

m

Rezido

r

Fairm

ont R

affles

Kempin

ski ElafKa

tara

Formosa

Others

-

2,000

4,000

6,000

8,000

10,000

12,000

14,000

8,211

5,161 4,636 4,535

3,530 2,845 2,700 2,557

2,148 1,922 1,901 1,743 1,741 1,619 1,442 1,400 926 842 774 742

12,688


Abu Dhabi confirmed chain hotel pipeline (1 of 2)

# Chain Brand Name Keys Stars

Year

1 Accor Adagio Adagio Abu Dhabi Al Bustan 279 4 20132 Accor Novotel Novotel Abu Dhabi Al Bustan 361 4 20133 Anantara Anantara Anantara Al Yamm Villas 30 5 20134 Anantara Anantara Anantara Al Sahel Villas 30 5 20135 Bin Majid Bin Majid The Tower Hotel Apartments 260 4 20146 Bin Majid Bin Majid (No Name) 190 4 20157 City Seasons City Seasons Royal Rose Hotel 355 4 20138 City Seasons City Seasons City Seasons Park Hotel 165 4 20139 Dusit Dusit Thani Dusit Thani Abu Dhabi (W) 533 5 201310 Fairmont Raffles Fairmont Fairmont Abu Dhabi Marina 812 5 201611 Formosa Regent Regent Emirates Pearl Abu Dhabi 377 5 201412 Four Seasons Four Seasons Four Seasons Htl Abu Dhabi at Al Maryah Island 190 5 201613 Gloria Gloria Gloria Arabian Palace Hotel 175 5 201514 Gloria Gloria Gloria Downtown Hotel 156 4 201415 Hilton Hilton Hilton Abu Dhabi Capital Grand 281 5 201316 Marriott Courtyard Courtyard by Marriott - Central Market 195 4 201417 Marriott Edition Edition Hotel Abu Dhabi 244 4 2015


Abu Dhabi pipeline images (1)

Fairmont Abu Dhabi Marina (above) and Dusit Thani Abu Dhabi (right)


Abu Dhabi pipeline images (2)

Millennium Bab Al Qasr (above) and Regent Emirates Pearl (right)


Abu Dhabi confirmed chain hotel pipeline (2 of 2)

# Chain Brand Name Keys Stars Year18 Marriott Marriott Abu Dhabi Marriott Hotel 315 5 201419 Marriott Marriott Marriott Executive Apartments Abu Dhabi 64 5 201420 Millennium Biltmore Biltmore Bateen Marina 218 5 201521 Millennium Millennium Millennium Bab Al Qasr 674 5 201322 Millennium Millennium Exec Apts Millennium Executive Apartments 198 5 201323 Movenpick Movenpick Movenpick Hotel Al Reem 713 5 201524 Movenpick Movenpick Movenpick Hotel Yas Island 500 5 201625 Movenpick Movenpick Movenpick Resort & Spa Al Raha Beach 400 5 201626 Oetker Hotel Le Bristol Hotel Le Bristol Abu Dhabi 250 5 201527 Premier Inn Premier Inn Premier Inn Abu Dhabi Int’l Airport 300 3 201328 Rotana Arjaan Capital Centre Arjaan 258 4 201429 Rotana Arjaan Marina Mall Arjaan 356 4 201530 Rotana Rotana Capital Centre Rotana 315 4 201431 Rotana Rotana Saadiyat Rotana Resort 354 5 201632 Southern Sun Southern Sun Southern Sun Abu Dhabi 352 4 201333 Starwood St. Regis The St. Regis Abu Dhabi 283 5 201334 Starwood W W Abu Dhabi 370 5 201535 Time Hotels Time Hotel Time Khalifa Hotel Apartments 72 4 201336 Wyndham Ramada Ramada Al Moroor 120 4 2013

TOTAL 10,745


Abu Dhabi pipeline images (3)Clockwise from top left: Four Seasons, St. Regis and Premier Inn


Abu Dhabi independent & ‘mega’ hotel projects

• Islands:– Saadiyat– Reem– Al Maryah (formerly Sowwah)– Yas– Nurai– Nareel– Lulu

• Mainland districts:– Al Raha Beach– Masdar City– Ghantoot Green City– Capital District (Khalifa City)

• Downtown projects:– ‘CBD project’ (Mina Zayed, etc)– Central Market– Capital Centre/Gate– Helix Hotel


Abu Dhabi independent hotel & mega project images

Clockwise from top left: Capital Gate, Central Market, Helix Hotel


Dubai confirmed chain hotel pipeline (1 of 3)

# Chain Brand Name Keys Stars Year1 Accor Novotel Novotel Dubai Al Barsha 466 4 20132 Accor Pullman Pullman Dubai Jumeirah Lake Towers 354 5 20143 Accor Sofitel Sofitel Dubai Palm Jumeirah Resort & Spa 543 5 20134 Accor Sofitel Sofitel Dubai Sheikh Zayed Road 350 5 20145 Anantara Anantara Anantara Dubai Palm Jumeirah Resort & Spa 293 5 20136 Auris Auris Auris Jumeirah Hotel Apartments 250 4 20157 Auris Auris Auris Village 150 4 20158 Baccarat Baccarat Baccarat Dubai Pearl 357 5 20149 City Seasons City Seasons City Seasons BurJuman Hotel 208 4 201410 Citymax Citymax Citymax Hotel Dubai 350 3 201611 Coral Corp Corp Al Khoory Barsha 228 4 201512 Coral Coral Coral Sport City 304 4 201413 Damac Damac Bay's Edge 220 4 201614 Damac Damac Burj Damac Marina 102 4 201615 Damac Damac Maison The Distinction 295 5 201616 Damac Damac Maison Damac Towers by Paramount 1940 5 201517 Fairmont Raffles Swissotel Swossitel Jadaf Dubai 280 4 201618 Four Seasons Four Seasons Four Seasons Resort Dubai at Jumeirah Beach 220 5 201419 Hilton Conrad Conrad Dubai 555 5 2013


Dubai pipeline images (1)

Dubai Pearl (MGM and Baccarat hotels - above) and DoubleTree by Hilton Dubai Jumeirah Beach (right)



# Chain Brand Name Keys Stars Year20 Hilton Doubletree Doubletree by Hilton, Dubai Jumeirah Beach 110 4 201321 Hilton Hilton Hilton Dubai Palm Jumeirah 660 5 201522 Hilton Waldorf Astoria Waldorf Astoria Palm Jumeirah 320 5 201423 IHG InterContinental InterContinental Dubai Marina 328 5 201424 IHG Staybridge Suites Staybridge Suites Dubai - Union Square 165 3 201425 Kempinski Kempinski Kempinski Htl & Res Palm Jumeirah 351 5 201426 Lotus Lotus Lotus Grand Hotel 147 4 201527 Marriott JW Marriott JW Marriott Marquis Hotel Dubai (2nd Tower) 804 5 201528 Marriott Marriott Dubai Marriott Zaabeel 352 5 201329 Marriott Marriott Marriott Executive Apts Dubai Zaabeel 128 5 201330 MGM Bellagio Bellagio Dubai Pearl 291 5 201431 MGM MGM Grand MGM Grand Pearl Dubai 350 5 201432 MGM Skylofts Skylofts Dubai Pearl 38 5 201433 Millennium Millennium Exec Apts Millennium Executive Apartments Dubai

Marina151 5 2013

34 Movenpick Movenpick Movenpick Htl & Res Jumeirah Lakes Towers 475 5 201335 Movenpick Movenpick Movenpick Resort & Spa Oceana Dubai 324 5 201436 Oberoi Oberoi The Oberoi Dubai 252 5 201337 Ramee Ramee Grand Ramee Grand Business Bay 175 5 201538 Rezidor Park Inn Park Inn Dubai Airport Free Zone 310 3 201539 Rezidor Park Inn Park Inn Dubai Al Jadaf 300 3 2016



InterContinental Dubai Marina (above) and Viceroy Dubai Palm Jumeirah (right)



# Chain Brand Name Keys Stars Year40 Rosewood Rosewood Rosewood Dubai 190 5 201441 Rotana Centro Jebel Ali Airport Centro 440 3 201642 Starwood Sheraton Sheraton Dubai Sheikh Zayed Road Hotel 663 5 201443 Starwood St. Regis The St. Regis Dubai 226 5 201744 Starwood W W Dubai - Tha Palm 283 5 201645 Starwood W W Dubai Sheikh Zayed Road 423 5 201746 Starwood Westin The Westin Dubai Sheikh Zayed Road 929 5 201747 Sunland Palazzo Versace Palazzo Versace Dubai 217 5 201348 The Address The Address The Address The BLVD 742 5 201549 The Address The Address The Address Sky View I 314 5 201650 The Address The Address The Address Sky View II 370 5 201651 The Address The Address The Address Fountain Views I 283 5 201652 The Address The Address The Address Fountain Views II 283 5 201653 The Address Vida Vida Downtown Dubai 156 4 201354 Time Hotels Time Hotel Time Wafi Hotel 234 5 201655 Viceroy Viceroy Viceroy Dubai Palm Jumeirah 481 5 201756 Wyndham Ramada Wyndham Dubai Marina 497 4 2016

TOTAL 20,227



Vida Downtown Dubai (above) and St. Regis/Westin/W Hotels Sheikh Zayed Road (right)


Dubai independent & ‘mega’ hotel projects

• Mohammed bin Rashid City – 100 hotels!• Business Bay/Downtown• Dubai Healthcare City – Phase II• Dubai Festival City• Dubai Marina• Jumeirah Lakes Towers• Blue Waters (Dubai Eye) project• The Palm Jumeirah – remaining plots• Madinat Jumeirah Phase 4 (420 rooms)• Dubailand:

– City of Arabia & Falcon City– Motor City & Dubai Sports City– Dubai Silicon Oasis & International Media Production Zone– Dubai Sustainable City– Akoya by Damac (Trump golf community)

• Jebel Ali Downtown & Dubai Investments Park• JAFZA Convention Hotel (322 rooms)• Dragonmart Hotel (246 rooms)


Dubai independent hotel & mega project images (1)

Blue Waters/Dubai Eye (above) and Mohammed bin Rashid City (right)


Dubai independent hotel & mega project images (2)

JAFZA Convention Hotel (above) and Dubai Sustainable City (right)


Doha confirmed chain hotel pipeline (1 of 2)

# Chain Brand Name Keys Stars Year1 Accor M Gallery M Gallery Doha Musheireb 215 5 20152 Accor Pullman Pullman Doha West Bay 468 5 20153 Anantara Anantara Anantara Doha Island Rst & Spa 141 5 20144 Capella Solis Solis Doha 445 5 20165 Citymax Hotels Citymax Hotels Citymax Hotel Doha 154 3 20146 Dusit Dusit Thani Dusit Doha 190 5 20137 Formosa Regent Regent Doha 365 5 20148 Four Seasons Four Seasons Four Seasons Htl Doha The Pearl 300 5 20149 Grand Heritage Grand Heritage Grand Heritage West Bay 317 5 201410 Hilton Doubletree Doubletree Doha Al Sadd 145 4 201411 Hilton Doubletree Doubletree Suites by Hilton Doha 240 4 201512 Hilton Hilton Garden Inn Hilton Garden Inn Doha Al Sadd

258 4 2014

13 Hilton Waldorf Astoria Waldorf Astoria Doha West Bay 330 5 201614 Hyatt Park Hyatt Park Hyatt Doha 181 5 201615 IHG Holiday Inn Holiday Inn Doha 347 4 201516 Jumeirah Jumeirah Jumeirah Dubai Tower Doha 250 5 201517 Katara Merweb Lusail Foxhills Hotel 160 4 2017


Doha pipeline images (1)

Katara Merweb Lusail Marina Iconic Towers


Doha confirmed chain hotel pipeline (2 of 2)

# Chain Brand Name Keys Stars Year18 Katara Merweb Lusail Marina Iconic Towers 614 5 201719 Kempinski Kempinski Marsa Malaz Hotel Kempinski 281 5 201420 Mandarin Oriental Mandarin Oriental Mandarin Oriental Doha 249 5 201521 Marriott JW Marriott JW Marriott Hotel Doha 412 5 201722 Millennium Millennium Millennium Al Wouroud 232 5 201323 Morgans Morgans Mondrian Doha 270 5 201424 Premier Inn Premier Inn Premier Inn Doha Education City 219 3 201425 Premier Inn Premier Inn Premier Inn Doha Airport 102 3 201426 Rezidor Hotel Missoni Hotel Missoni 300 5 201527 Rotana Centro Centro Doha 220 3 201528 Rotana Rotana City Centre Rotana 380 5 201329 Shangri-La Shangri-La Shangri-La Hotel Doha 314 5 201330 Shaza Shaza Shaza Hotel Doha 180 5 201531 Sonesta Sonesta Sonesta Hotel Doha 260 5 201432 Starwood Le Meridien Le Meridien Doha 250 5 201633 Time Hotels Time Hotel Time Rako Hotel 114 4 2015

TOTAL 8,903


Doha pipeline images (2)

Mandarin Oriental Doha (above) and Shaza Doha (right)


Doha independent & ‘mega’ hotel projects

• World Cup – 80,000 rooms!• Airport City – 30-year master plan• Lusail (Qatari Diar) – 38 km2, 200,000 population, 22 hotels• West Bay/The Pearl• Doha Convention Centre Tower• Msheireb Downtown Doha – US$20 billion urban regeneration• Barwa:

– Oryx Island – 5 floating hotels– Barwa Financial District– Barwa Commercial Avenue– Barwa Al Sadd– Barwa Village

• Doha Festival City• Wa’ab City• Tawar Mall Hotel


Doha mega project images

Oryx Island (above) and Msheireb Downtown Doha (left)


Makkah confirmed chain hotel pipeline (1 of 2)

# Chain Brand Name Keys Stars Year

1 Anjum Hotels Anjum Hotel Anjum Hotel 1,743 5 2013

2 Best Western Best Western BW Bougary 1,200 3 2015

3 Best Western Best Western Premier BW Premier Makkah 560 5 2014

4 Elaf Elaf Elaf Bakkah Hotel 842 5 2013

5 Hilton Conrad Conrad Makkah 438 5 2014

6 Hilton Doubletree by Hilton Doubletree by Hilton Makkah 668 4 2016

7 Hilton Hilton Hilton Suites Makkah 484 5 2013

8 Hilton Hilton Hilton Makkah Convention Hotel 780 5 2015

9 Hilton Hilton Hilton Bab Makkah North 746 5 2016

10 Hilton Hilton Hilton Bab Makkah South 746 5 2016

11 Hyatt Hyatt House Hyatt House Makkah 200 3 2014

12 Hyatt Hyatt Place Hyatt Place Makkah 200 4 2014

13 Hyatt Hyatt Regency Hyatt Regency Makkah 628 5 2014


Makkah pipeline images

Elaf Bakkah Hotel (above) and Anjum Hotel (right)


Makkah confirmed chain hotel pipeline (2 of 2)

# Chain Brand Name Keys Stars Year

14 Makarim Makarim Makarim Shorofat Hotel 104 4 2013

15 Marriott Courtyard Courtyard by Marriott Makkah 432 4 2017

16 Marriott JW Marriott JW Marriott Makkah 639 5 2016

17 Marriott Marriott Marriott Makkah 540 5 2014

18 Mena Mena Mena Grand Mekkah 367 4 2015

19 Millennium Copthorne Copthorne Al Salam Hotel 220 4 2013

20 Millennium Copthorne Copthorne Hotel Nobola Makkah 756 4 2014

21 Millennium Millennium Millennium Hotel Makkah (Umm Al Qurah)

1,400 5 2016

22 Starwood Four Points Four Points by Sheraton Makkah 451 4 2015

23 Starwood Sheraton Sheraton Makkah 532 5 2015

24 Starwood Westin Westin Makkah 513 5 2015

25 Wyndham Ramada Plaza Ramada Plaza Makkah 792 4 2013

TOTAL 15,981


Makkah independent & ‘mega’ hotel projects

• 3.1 million Hajjees in 2012• 17 million expected by 2025!• Jabal Omar project:

– 38 hotel towers– 14,000 rooms– 34,000 beds– Peak season capacity for 100,000 pilgrims

• Jabal Al Kaaba project – SR 10 billion - 8,500 rooms• Railway projects:

– Mashair serving Holy Places– Haramain High Speed Railway– Makkah Metro


Makkah mega project: Jabal Omar


Riyadh confirmed chain hotel pipeline (1 of 2)

# Chain Brand Name Keys Stars Year1 Accor Sofitel Sofitel Riyadh 404 5 20152 Accor Suite Novotel Suite Novotel Riyadh Dyar 90 4 20143 Auris Auris Auris Kan 125 4 20154 Best Western Best Western Best Western Al Khudair 80 3 20155 Best Western Best Western Best Western Ring Road 82 3 20146 Citymax Hotels Citymax Hotels Citymax Hotel Riyadh 96 3 20167 Cristal Cristal Cristal Siyaha Hotel Apartment 110 4 20138 Cristal Cristal Cristal Amaken Hotel 270 4 20149 Fairmont Raffles Fairmont Fairmont Business Gate 308 5 201410 Frasers Fraser Suites Fraser Suites Edafah Al Riyadh 100 5 201311 Hilton Doubletree Doubletree by Hilton, Riyadh Olaya 309 4 201512 Hilton Doubletree Doubletree by Hilton, Al Muroj 196 4 201413 Hilton Doubletree Doubletree Suites Riyadh, Financial

District110 4 2016

14 Hilton Hilton Hilton Riyadh King Saud University 241 5 201415 Hilton Hilton Hilton Riyadh King Fahd Road 204 5 201416 Hilton Hilton Garden Inn Hilton Garden Inn Riyadh Andalusia

130 4 2015

17 Hilton Hilton Garden Inn Hilton Garden Inn Riyadh Financial DIstrict

260 4 2016

18 Hyatt Hyatt Regency Hyatt Regency Riyadh 257 5 201419 Hyatt Park Hyatt Park Hyatt Riyadh 275 5 2016


Riyadh pipeline images (1)

Clockwise from top left: Best Western Al Khudair, Sofitel Riyadh, Cristal Amaken Hotel


Riyadh confirmed chain hotel pipeline (2 of 2)

# Chain Brand Name Keys Stars Year20 IHG Hotel Indigo Hotel Indigo Riyadh Financial District 225 5 201421 IHG InterContinental InterCon King Abdullah Financial District 220 5 201422 Kempinski Kempinski Kempinski Hotel Burj Rafal 294 5 201323 Marriott Courtyard Courtyard by Marriott Riyadh North 200 4 201724 Marriott Courtyard Courtyard by Marriott Riyadh Olaya Street 210 4 201525 Mena Mena Mena Villas Hotel Riyadh 62 5 201326 Mena Mena Mena Villas Hotel Suleimaniyah 30 5 201327 Millennium Grand Millennium Grand Millennium Riyadh 437 5 201628 Millennium Millennium Millennium Riyadh Hotel 350 5 201529 Movenpick Movenpick Movenpick Hotel Riyadh 433 5 201330 Rezidor Radisson Blu Radisson Blu Riyadh Ring Road 252 5 201631 Rezidor Radisson Blu Radisson Blu Res Riyadh Dip’ Quarter 110 5 201632 Rotana Centro Centro Riyadh 150 3 201533 Rotana Rayhaan Rosh Rayhaan 227 5 201434 Starwood Aloft Aloft Riyadh 238 4 201435 Swiss

BelhotelSwiss Belhotel Swiss Belhotel Riyadh 126 4 2014

36 Wyndham Wyndham Grand Wyndham Grand Riyadh 210 5 201437 IHG Crowne Plaza Crowne Plaza Riyadh - ITCC 326 5 201438 IHG Holiday Inn Holiday Inn Riyadh Meydan 290 4 201339 Rezidor Park Inn Park Inn Residence Riyadh Al Safaha 170 3 2016

TOTAL 8,207


Riyadh pipeline images (2)

Clockwise from top left: Kempinski Hotel Burj Rafal, Swiss Belhotel Riyadh, Radisson Blu Riyadh Ring Road


Riyadh independent & ‘mega’ hotel projects

• King Abdullah Financial District:– 80 towers– 3 million m2 of floor space

• ITCC Smart City:– 4-tower IT park– 760,000 m2 of floor space

• Kingdom Riyadh Land – 16 km2

• Adex Tower Hotel – 238 rooms• 830-room Hilton?• Huge spending on infrastructure, education, health, etc:

– “According to the designated body at the High Commission for Riyadh Development (HCRD) that works to monitor projects in the Riyadh province, it is currently implementing 3,088 projects across sectors at a total cost of SR 278 billion.” Arab News


Riyadh mega project: King Abdulla Financial Centre


Thanks for listening

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Contact Viability Management Consultants

Guy WilkinsonManaging PartnerViability Management ConsultantsPO Box 191234DubaiUnited Arab EmiratesEmail: [email protected]: +971 50 450 6276Tel: +971 4 344 3734Fax: +971 4 344 0907Web site: www.viability.ae

mailto:[email protected]

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