According to Ernst & Young Middle East hotel benchmark survey, the occupancy rate in Beirut’s 4- and 5-star hotels reached 41.8% percentage points (pp) by June 2023, down from last year’s percentage of 45%. It is important to acknowledge that the occupancy rate in Beirut 4 and 5- stars hotels experienced a decline in June 2023 due to a preference among tourists and expats for booking guesthouses and Airbnb accommodations. In fact, a significant number of guesthouses located near the beach are reserved well in advance for the summer season.
In more details, the average room rate in dollars currency in Lebanon rose by 63.2% to stand at $107, as the tourism sector hinted at record success in June 2023, and mostly towards the very high end hotels. Additionnally the RevPAR increased by 51.7% to reach $45 for the month of June 2023. Moreover, the average room rate in Lebanese pound has increased significantly by 435.9% ; in details, the average room rate in LBP reached LBP 9,867,316 in June 2023 and RevPAR (Revenue per available room) jumped by 398.4% from LBP 828,375 in June 2022 to LBP 4,128,443 in June 2023.
On a regional level, hospitality markets in Makkah and Muscat witnessed an increase across all performance indicators in June 2023 compared to June 2022. In more details, the occupancy rates in Makkah added 16.4% to reach 73.9% while Muscat occupancy rates added 10.6% to reach 60.2%. Makkah’s hospitality sector observed a remarkable RevPAR growth of 88.4% from $395 in June 2022 to $745 in June 2023. Meanwhile, average room rate in Makkah jumped by 46.6% from $687 in June 2022 to $1007 by June 2023. As for Muscat, the average room rate added 6.6% from $47 in June 2022 to $50 in June 2023 which resulted in a notable RevPAR growth of 29.5% from $23 to $30 during the same period. In fact, recently Oman announced visa-free entry for over 100 countries, in order to encourage more tourists to visit the country. Additionally, the country is known for its natural beauty, rich history, and unique culture.