AHIC is the Middle East’s annual meeting place for the region’s most senior hotel investors, developers, operators and advisors. It is the annual conference that connects business leaders from international and local markets to do deals across the region. This presentation illustrates the opportunities in the hotel market and highlight current top performers. Regions are analyzed in terms of their occupancy rate, average daily rate and revenue per available room. The hotel pipelines for these markets are equally looked at.

1. Hotel Performance:
What are the statistics telling us?
Elizabeth Winkle
Managing Director
Arabian Hotel Investment Conference
Dubai, 5th May 2013

2. Global Performance

3. 0.9
4.5
5.6
- 2.6
6.5
9.7
- 1.8
-5%
0%
5%
10%
15%
20%
0% 1% 2% 3% 4% 5% 6% 7% 8%
S. Africa
Demand Growth/Constrained Supply Growth
Year end 2012, YOY % change, supply, demand, RevPAR
N. Africa
Middle East
Asia Pacific
SUPPLY
D
E
M
A
N
D
Europe €
N. America
CSA
Source: STR Global

4. 0.6
0.65
0.7
0.75
0.8
0.85
0.9
0.95
1
1.05
1.1
YE 2007 YE 2008 YE 2009 YE 2010 YE 2011 YE 2012
S. Africa
Europe
Middle East
N. America
Asia Pacific
N. Africa
Source: STR Global
RGI Index on YE 2008, US dollars, only Europe in Euros
Mixed RGI Results

5. World Wide RevPAR
Europe €
YE11 YE12 Q1 13
5.8% 4.8% 0.1%
Middle East & Africa $
YE11 YE12 Q1 13
Middle East -1.1% 6.4% 10.3%
N. Africa -39.5% 9.7% 9.0%
S. Africa -7.7% -1.8% -0.2%
Asia Pacific $
YE11 YE12 Q1 13
9.8% 1.4% -2.5%
North America $
YE11 YE12 Q1 13
8.0% 6.5% 6.2%
RevPAR % change
Source: STR Global

6. Spotlight on the Middle East and Africa

7. Year End 2012 and YTD March 2013
Middle East & Africa Regions
YE, 2012 Occ ADR RevPAR
Total 60% $162 $98
M.E. 64% $204 $132
N. Africa 52% $85 $44
S. Africa 60% $132 $78
YTD 2013 Occ ADR RevPAR
Total 64% $179 $115
M.E. 72% $224 $162
N. Africa 48% $85 $41
S. Africa 62% $136 $84
Source: STR Global

8. -25%
-20%
-15%
-10%
-5%
0%
5%
10%
15%
20%
Occupancy ADR
MEA – Select Countries Q1 2013
YOY % chg, Occ and ADR (local currency)
Source: STR Global

9. MEA Select Markets Q1 2013
$0
$50
$100
$150
$200
$250
$300
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Occupancy ADR $ USD
Occupancy & ADR in USD
Source: STR Global

10. Dubai Room Supply/Demand Percent Change
Twelve Month Moving Average – YE 2005 to March 2013
-5
0
5
10
15
20
2005 2006 2007 2008 2009 2010 2011 2012
Supply % Chg Demand % Chg
Mar ‘13
6.4%
Nov ‘11
18.4%
Oct ‘12
4.0%
Oct ’09
-0.9%
Aug’09
14.8%
Source: STR Global

11. Dubai Occupancy/ADR Percent Change
Twelve Month Moving Average – YE 2005 to March 2013
-30
-20
-10
0
10
20
30
40
2005 2006 2007 2008 2009 2010 2011 2012
Occ % Chg ADR % Chg
Mar ‘08
18.5%
Dec’ 09
-10.5%
Jan ‘10
-24.7-6.7
Jan ‘12
7.9%
Oct ‘12
9.2%
Source: STR Global

12. Dubai RevPAR Percent Change
Twelve Month Moving Average – YE 2005 to March 2013
-40
-30
-20
-10
0
10
20
30
40
2005 2006 2007 2008 2009 2010 2011 2012
RevPAR % Chg
Dec ‘05
34.0%
June ‘06
9.3
May ‘11
8.5
Nov ‘07
18.4%
Aug ‘12
15.4%
Nov ‘09
-32.6%
Source: STR Global

13. Abu Dhabi Room Supply/Demand Percent Chg
Twelve Month Moving Average – YE 2006 to March 2013
Nov ‘09
-4.6%-5
5
15
25
35
45
2006 2007 2008 2009 2010 2011 2012
Supply % Chg Demand % Chg
Mar‘13
14.6%
Jul ’11
28.6%
Sept ‘10
47.7%
Oct‘08
10.6%
Source: STR Global

14. Abu Dhabi Occupancy/ADR Percent Change
Twelve Month Moving Average – YE 2005 to March 2013
-40
-30
-20
-10
0
10
20
30
40
50
60
70
2006 2007 2008 2009 2010 2011 2012
Occ % Chg ADR % Chg
Feb ’09
39.6%
Jan ‘11
-31.1-6.7
Oct ‘11
15.0%
Aug ‘10
-24.6-6.7
Source: STR Global

15. Abu Dhabi RevPAR Percent Change
Twelve Month Moving Average – YE 2005 to March 2013
-60
-40
-20
0
20
40
60
2006 2007 2008 2009 2010 2011 2012
RevPAR % Chg
Feb ‘07
59.6%
June ‘06
9.3
Feb ‘09
47.8%
Mar ‘13
-5.9%
Oct ‘10
-46.9%
Source: STR Global

16. Spotlight on Pipeline

17. Selected Cities – Supply Increase
Rooms in active pipeline as % of existing supply
0% 20% 40% 60% 80% 100%
Riyadh
Jeddah
Makkah
Muscat
Abu Dhabi
Al Khobar
Doha
Manama
Dubai
Cairo
Amman
Medina
Beirut
Source: STR Global

18. Elizabeth Winkle
ewinkle@strglobal.com
STR Global
+44 207 992 1930
www.strglobal.com
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