Monday 25 March 2019

Saab..'Our portfolio of hotels demonstrated solid performance in Q1 2016 '

RAK Hospitality Asset Management Q1 RevPAR up 16.4pc

RAS AL KHAIMAH, April 28, 2016

RAK Hospitality Asset Management has announced that its hotels under management posted a record growth of 16.4 per cent in revenue per available room (RevPAR) in Q1 2016.

Rashad Saab, head of asset management at RAK Hospitality Asset Management, attributes the growth to three main reasons. “Firstly, the tireless effort of the hotel operating teams in consistently delivering superior customer service has had a favourable impact on the top line of our hotels. Secondly, RAK Tourism Development Authority is driving considerable demand for our hotels from international feeder markets through targeted marketing campaigns and investment in enhancing the tourist proposition in Ras Al Khaimah. Thirdly, RAK Hospitality Asset Management, using its multi-disciplinary team, has implemented proactive asset management practices with the hotel operators, which are focused around improving financial and operating performance as well as executing value-adding capital projects.”

RAK Hospitality Asset Management has more than Dh2 billion ($544.3 million) in assets under management comprising four luxury, upper-upscale and upscale hotels in Ras Al Khaimah that together make up approximately 28 per cent of the emirate’s room inventory (1,453 rooms). The hotels are: Banyan Tree Al Wadi, Hilton Ras Al Khaimah Resort & Spa, Rixos Bab Al Bahr on Al Marjan Island, and Hilton Ras Al Khaimah which is currently under renovation and is expected to open in late 2016.

Saab added: “Our portfolio of hotels demonstrated solid performance in Q1 2016 under the guidance of RAK Hospitality Asset Management. By applying our extensive knowledge of the hospitality sector and putting our proven investment philosophy into practice, we are laying the groundwork for what will be longer-term success.”

“The strategic plan for our portfolio is backed by healthy market dynamics in Ras Al Khaimah, and falls in line with the direction of regional governments to boost tourism through hotels, leisure and entertainment activities. For example, Ras Al Khaimah is seeking to attract 1m visitors by 2018, a target that RAK Tourism Development Authority, in close cooperation with its tourism stakeholders, is closing in on fast,” Saab said.

RAK Hospitality Asset Management has a strong pipeline for 2016 with strategic objectives that include strengthening its existing hotel assets, overseeing multi-million dirham renovation projects at Hilton Ras Al Khaimah and Hilton Ras Al Khaimah Resort & Spa and extending its services to hotels and resort owners and developers across the UAE and wider GCC.

Despite market headwinds on the tourism sector in the UAE generally, Ras Al Khaimah proved resilient by demonstrating RevPAR growth of 9.2 per cent for Q1 2016. - TradeArabia News Service

Tags: hospitality | RAK | asset | management | RevPAR | Q1 |

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