{"id":14840,"date":"2016-05-30T13:01:00","date_gmt":"2016-05-30T06:01:00","guid":{"rendered":"http:\/\/www.siamlandbank.com\/propertynews\/?p=14840"},"modified":"2016-05-30T11:21:13","modified_gmt":"2016-05-30T04:21:13","slug":"hotels-form-vital-plank-in-aldar-plans-to-diversify-revenue","status":"publish","type":"post","link":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/hotels-form-vital-plank-in-aldar-plans-to-diversify-revenue\/","title":{"rendered":"Hotels form vital plank in Aldar plans to diversify revenue"},"content":{"rendered":"


\nAldar plans to open more hotels as part of its ongoing efforts to diversify revenues beyond those earned from property sales.”There is definitely a need for serviced apartments in Abu Dhabi, there is demand for four- and three-star level hotels in the city of Abu Dhabi,” says Mohammed Al Mubarak, Aldar’s chief executive. Its development projects will increasingly feature serviced apartments and hotels to complement residential and retail components. “A lot of our future thinking is going that route,” he says. Recurring revenues more than doubled between 2012 and 2015 to Dh2.9 billion thanks to its expanding portfolio of assets that includes schools, retail and offices as well as hotels. Recurring revenues contributed to 62 per cent of total revenues and 68 per cent of net operating income last year compared with 11 per cent and 15 per cent, respectively, in 2012. Aldar is targeting a growth of 6 per cent year-on-year in 2016 for recurring net operating income to Dh1.6bn and by 2020 to have grown this by 45 per cent to Dh2.2bn, compared with last year.”Yes I want to increase my recurring revenue, I will continue to increase my recurring revenue. That strategy is always going to be enhanced. Because I believe in the long-term prosperity of my sites,” says Mr Al Mubarak. Currently hospitality and leisure assets are predominantly hotel properties on Yas Island such as the Viceroy. They make up 8 per cent of the overall recurring portfolio, contributing 22 per cent of recurring revenues. Its hotels are also outperforming the overall Abu Dhabi market both in terms of revenue per available room (RevPar) and occupancy levels. Last year occupancy was at 79 per cent compared to 75.4 for Abu Dhabi and RevPar growth was at 4.3 per cent when the overall market was flat. However, we are currently in a softening market, the latest data shows. Abu Dhabi’s average occupancy rate in February was 77.6 per cent, down from 81.5 per cent a year earlier, according to Hotstats data from TRI Consulting. The average daily room rate was Dh157.95 in February this year, down from Dh217.20.”At the moment the hotels on Yas are doing well [compared with the overall market]. We all know that, basically, it is a tough time for hospitality in Abu Dhabi, we all need to come closer together [to ride it out because] we all know that there are new hotels coming,” says Mr Al Mubarak. About 8,000 new rooms are expected to open in the next five years, according to the Abu Dhabi Tourism and Culture Authority (TCA Abu Dhabi), of which Mr Al Mubarak is chairman. There is now a focus on attracting visitors from India, China, Africa and the Arabian Gulf as the emirate looks to build on the 4.1 million guests who checked into Abu Dhabi’s hotels last year, staying a total of 12.24 million nights. “We work very closely with tourist offices around the world to make sure that Abu Dhabi and Yas Island is on their stop,” says Mr Al Mubarak. According to Citibank research analysts last month: “Aldar’s hotels have seen a very healthy performance over the past year, leveraging on Abu Dhabi’s tourism strategy, Etihad [Airways’] expansion into new destinations and its strategic location next to major retail and leisure destinations such as Yas Island.”Mr Al Mubarak agrees that the outperformance of Aldar’s hotels is partly down to the particularly strong draw of “destination” hotels and the growing number of attractions on Yas Island such as the recently announced Warner Bros theme park that will build on what is already there, such as Ferrari World Abu Dhabi. “Today our hotels on Yas Island continue to do better than the market and the more assets that come to the island, again this is Aldar and [the theme park developer] Miral working very closely with each other, the more we know we can start selling this island even better. The more we can have more visitors, the more we can have destination management [and] more hotels.”malrawi@thenational.aeFollow The National’s Business section on Twitter
\n
\nSource : thenational.ae
\nRead more…Hotels form vital plank in Aldar plans to diversify revenue<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Aldar plans to open more hotels as part of its ongoing efforts to diversify revenues...<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"false","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"spay_email":"","footnotes":"","jetpack_publicize_message":"","jetpack_is_tweetstorm":false,"jetpack_publicize_feature_enabled":true},"categories":[1],"tags":[],"class_list":["post-14840","post","type-post","status-publish","format-standard","hentry","category-property-news"],"jetpack_featured_media_url":"","jetpack_publicize_connections":[],"jetpack_sharing_enabled":true,"jetpack_shortlink":"https:\/\/wp.me\/p75ss1-3Rm","jetpack-related-posts":[{"id":48854,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/abu-dhabi-developer-aldar-sets-sights-on-yas-and-reem-projects\/","url_meta":{"origin":14840,"position":0},"title":"Abu Dhabi developer Aldar sets sights on Yas and Reem projects","date":"March 21, 2017","format":false,"excerpt":"\r Aldar Properties expects to invest Dh1.9 billion in developing four new projects on Reem Island and Yas Island in Abu Dhabi as part of the company's plans to boost its recurring revenue. Abu Dhabi's largest listed property developer said on Monday in a statement it plans to build a\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":1957,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/aldar-acquires-daman-house-in-abu-dhabi\/","url_meta":{"origin":14840,"position":1},"title":"Aldar acquires Daman House in Abu Dhabi","date":"January 20, 2016","format":false,"excerpt":"\r \r Aldar Properties has bought the Abu Dhabi office tower that is home to the national insurance company Daman as part of a\u00ad Dh3 billion investment plan.Abu Dhabi\u2019s largest listed property developer acquired Daman House in Abu Dhabi\u2019s Capital Centre district close to the city\u2019s exhibition centre as part\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":4816,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/fourth-quarter-profit-at-abu-dhabis-aldar-gets-boost-from-property-portfolio\/","url_meta":{"origin":14840,"position":2},"title":"Fourth-quarter profit at Abu Dhabi's Aldar gets boost from property portfolio","date":"February 15, 2016","format":false,"excerpt":"\r \r Lucy BarnardA jump in the value of Aldar's investment properties boosted its fourth-quarter results on Monday, as the company continues to position itself as Abu Dhabi's biggest landlord. Profit at Aldar Properties rose 5.6 per cent in 2015 compared with a year earlier, the company stated on Monday.Aldar\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":12560,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/aldar-planning-more-mid-income-schemes-in-abu-dhabi\/","url_meta":{"origin":14840,"position":3},"title":"Aldar planning more mid-income schemes in Abu Dhabi","date":"May 10, 2016","format":false,"excerpt":"\r Aldar Properties plans to add mid-income housing to developments such as Shams Abu Dhabi and Al Raha Beach following the success of its Meera Shams scheme launched in June last year.The Abu Dhabi developer on Tuesday reported a 15 per cent year-on-year increase in first quarter profits to Dh654\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":44137,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/aldar-to-focus-on-mid-market-this-year\/","url_meta":{"origin":14840,"position":4},"title":"Aldar to focus on mid-market this year","date":"February 14, 2017","format":false,"excerpt":"\r Aldar Properties said on Tuesday that it expects earnings from property sales to fall this year as the company focuses on building mid-market homes.Abu Dhabi's largest listed developer forecasts about Dh3 billion worth of sales in 2017, down from Dh3.5bn in 2016.Aldar said that it continued to expect to\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":47899,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/new-reem-island-projects-approved-by-abu-dhabi-city-planners\/","url_meta":{"origin":14840,"position":5},"title":"New Reem Island projects approved by Abu Dhabi city planners","date":"March 14, 2017","format":false,"excerpt":"\r Abu Dhabi planners have approved a slew of new projects that includes a hotel apartment development on Reem Island. Aldar's planned Shams Marina serviced apartment and apartment scheme was one of a number of projects signed off by the city's Urban Planning Council in the final quarter of 2016.\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]}],"_links":{"self":[{"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/posts\/14840"}],"collection":[{"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/comments?post=14840"}],"version-history":[{"count":0,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/posts\/14840\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/media?parent=14840"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/categories?post=14840"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/tags?post=14840"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}