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Dubai to Add 11,300+ Hotel Rooms by 2027, 4,620 in 2025

Dubai to Add 11,300+ Hotel Rooms by 2027, 4,620 in 2025

According to a report by leading real estate advisory group, Cavendish Maxwell, in 2024, the emirate added 4,255 rooms across 19 new hotels, marking a 2.9 per cent increase in its hospitality sector!

If you thought Dubai had enough hotels, think again! The city that never does anything halfway is about to add over 11,300 new hotel rooms by 2027. And because Dubai never wastes time, nearly 4,620 of those will be ready for check-in this year. That’s right—more infinity pools, more skyline views, and more places to pretend you’re in a movie montage.

A Growing Hospitality Empire

In 2024, Dubai welcomed 4,255 shiny new rooms across 19 hotels, boosting its hospitality sector by 2.9%. By December, the total count stood at 724 hotels with a staggering 151,245 keys (that’s a lot of room service menus!).

Looking ahead, the city’s hotel inventory is projected to grow by 3.1% in 2025 and 3.4% in 2026. By 2027, Dubai will boast over 162,600 hotel rooms spread across 769 properties—because why stop at a good thing when you can make it great?

Luxury is the Name of the Game

Dubai’s hotel scene is like an all-you-can-eat buffet of luxury, and it’s only getting fancier. Currently, 70% of available rooms fall under the high-end categories of luxury, upper upscale, and upscale. Spoiler alert: this trend isn’t changing anytime soon.

In 2025, nearly 70% of new hotel rooms will also belong to the Luxury and Upper Upscale segments. So, if you’re the kind of traveler who enjoys plush robes, gold-plated coffee cups, and infinity pools overlooking the Burj Khalifa—congrats, you’re in the right city.

Tourism is Thriving (and Breaking Records!)

Dubai didn’t just open new hotels in 2024; it also broke some serious records. The city welcomed 18.72 million overnight visitors—a 9.1% increase from 2023.

Tourism is no small deal here—it contributed Dhs236 billion (about 12% of the UAE’s GDP) in 2024. That’s up from Dhs220 billion the previous year. Translation? People love coming to Dubai, and the city is cashing in on it.

And if that’s not impressive enough, Dubai bagged multiple awards at the 31st Annual World Travel Awards, including the world’s leading shopping destination (unsurprising) and exhibition destination (also unsurprising). Even Dubai International Airport (DXB) was crowned the world’s leading airport.

Hotel Occupancy and Pricing: Holding Strong

Despite all these new rooms, Dubai’s hotels aren’t sitting empty. In 2024, the average occupancy rate rose to 78%, with luxury and upper midscale hotels seeing the biggest gains. That’s a 3% increase in luxury occupancy, proving that even with a slight dip in prices, people still want to experience the finer things in life.

Speaking of prices, the Average Daily Rate (ADR) in Dubai stood at Dhs690 in 2024, barely budging from the previous year. Revenue per available room (RevPAR) grew by 1.3%, driven by increased demand—especially in the upper midscale category, which saw a 1.9% boost.

Gergely Balint, associate partner and hospitality expert at Cavendish Maxwell, commented,

“Dubai’s hospitality and tourism sectors reached new milestones in 2024, with 18.72 million overnight visitors. The city added 4,255 new hotel rooms, and we anticipate another 20 hotels and resorts to open in 2025. This reinforces Dubai’s position as a global leader in tourism and hospitality, aligned with the strategic goals of the Dubai Economic Agenda, D33, which aims to position Dubai among the world’s top three tourism destinations.”

Where Are All These Visitors Coming From?

Dubai’s charm is truly global, with visitors jetting in from all corners of the world. Here’s the breakdown of top source markets in 2024:

  • Western Europe: 20% (3.7 million visitors)
  • South Asia: 17%
  • GCC countries: 15%
  • Eastern Europe: 14%
  • Northeast & Southeast Asia: Biggest growth due to a surge in Chinese outbound tourism

Even Dubai International Airport (DXB) had a record-breaking year, handling 92.3 million passengers—a 6.2% increase from 2023. December alone saw 8.2 million passengers, making it the busiest month ever.

It’s Not Just Dubai—The UAE as a Whole is Winning

Dubai may be the rockstar, but the rest of the UAE is also making waves:

  • Abu Dhabi saw the highest ADR growth at 14.5%
  • Ras Al Khaimah recorded a 14% ADR increase, thanks in part to the Waldorf Astoria renovation
  • Fujairah experienced a 4% ADR rise, with new tourism initiatives boosting numbers
  • Ras Al Khaimah welcomed 1.28 million visitors in 2024 (+5%) and is gearing up for the opening of the Wynn Al Marjan Island resort in 2027

The Bottom Line

Dubai’s hotel scene is booming, and it’s showing no signs of slowing down. With record-breaking tourism numbers, a steady rise in luxury accommodations, and a reputation for being one of the world’s top travel destinations, it’s safe to say that the emirate is not just keeping up with global hospitality trends—it’s setting them.

So, whether you’re a first-timer or a frequent flyer, get ready for more choices, more luxury, and more reasons to book that Dubai trip. The only problem? Choosing which five-star rooftop infinity pool to lounge in first.

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