UAE Hotel Pipeline Tops 23,000 Rooms, With Dubai Set to Add 11,180.
Dubai: Nearly 126,000 new hotel rooms are expected to open across the Gulf by 2030, pushing the combined supply across the six GCC countries to approximately 616,000 rooms, according to new research from Cavendish Maxwell.
The region currently has close to 490,000 operational hotel rooms, with the UAE accounting for around 43% of the total supply. As of August 2026, the Emirates had 212,135 rooms, including approximately 151,380 in Dubai.
Saudi Arabia has the region’s largest hotel development pipeline, with almost 94,500 rooms scheduled to be added by 2030. This would increase the Kingdom’s total inventory to nearly 275,300 rooms.
The UAE has the second-largest pipeline, with more than 23,000 rooms planned, including 11,180 in Dubai.
The expansion comes as hotels across the Gulf navigate a softer year for occupancy following disruptions to international travel, although room rates have shown greater resilience.
Hotel occupancy declines across GCC
Hotel occupancy fell across all GCC markets during the first eight months of 2026, according to Cavendish Maxwell research released at Future Hospitality Summit World.
Saudi Arabia recorded an average occupancy rate of 59%, with the smallest percentage decline among GCC markets at just under 3%.
The UAE also averaged 59% occupancy, although the rate was down by almost a quarter compared with the previous period. Dubai recorded a steeper decline of 27%.
Bahrain experienced the sharpest fall, with occupancy dropping 31% to just under 37%. Kuwait averaged approximately 38%, representing an 18% decline.
Qatar recorded occupancy of 60%, down 13%, while Oman averaged 48%, also representing a 13% decrease.
According to Shah, Saudi Arabia has demonstrated greater resilience than other Gulf markets, supported by domestic tourism and continued demand linked to religious pilgrimage.
Dubai looks to winter travel season
Dubai remains one of the GCC markets most sensitive to shifts in international travel because of its strong dependence on long-haul visitors.
Cavendish Maxwell expects Dubai’s average hotel occupancy to range between 60% and 66%, supported by the peak winter travel season and a busy events calendar. Average daily rates (ADR) are forecast at between $163 and $183, although both occupancy and rates are expected to remain below 2025 levels.
Across the wider Gulf, room rates proved more resilient than occupancy during the first eight months of the year, as hotel operators sought to maintain pricing despite softer demand.
The UAE’s average daily rate declined 7% to $165, while Dubai’s ADR stood at just under $168, representing a fall of nearly 9%.
Kuwait recorded an ADR of just under $199, up 3.2% year on year, while Oman posted an increase of almost 1% to $142. Saudi Arabia’s ADR edged up 0.6% to around $199, while Qatar recorded a 4.5% decline to $117.
Room rates remain resilient despite softer demand
The contrast between falling occupancy and relatively resilient room rates highlights how hotel operators have responded to lower guest numbers without reducing prices to the same degree.
Shah said upcoming travel periods and major events could help strengthen demand across several Gulf markets during the remainder of the year.
Oman began the year as one of the GCC’s stronger-performing hospitality markets before experiencing a sharp reversal in the second quarter. The recent Khareef season and the upcoming winter period are expected to support demand in the second half of the year, while limited new hotel supply should help contain additional competitive pressure.
In Qatar, the international visitor market is gradually returning to more normal levels, while major upcoming events, including the Qatar MotoGP and Formula 1 Grand Prix, are expected to provide further support for hotel occupancy and average daily rates.
However, the speed of recovery is likely to vary across GCC markets and will depend on factors including regional conditions, the normalisation of air travel, international visitor demand and the volume of new hotel supply entering individual destinations.
Shah said the timing and scale of any improvement remain uncertain, with each market continuing to be shaped by its visitor source markets, seasonal travel patterns, events calendar and supply dynamics.
