Dubai: As Dubai gears up for a packed events schedule this year, holiday home management company GuestReady Dubai has revealed it is forecasting the opportunity for landlords to earn up to 39 per cent more than the average week this year.
According to the company and research conducted by rental data provider AirDNA, the top events for homeowners and property investors to attend in 2020 will be the Dubai Summer Surprises [DSS], the Dubai Jazz Festival, Arab Health, the Dubai International Boat Show, the Dubai Duty-Free Tennis Championships, the Dubai Design Week and Expo 2020 Dubai.
All of the above are expected to be catalysts for a significant rise in international visitor levels.
When the three-day Dubai Jazz Festival gets underway, landlords can supposedly earn an average revenue of AED 2,921 with RevPAR going up 35.55 per cent at AED 584.2 from AED 430.97 from 26-28 February. Average nights per booking is set to be seven in comparison to 6.21 nights without the event, and booking lead time is forecasted to be 44 days.
With regards to Expo 2020 Dubai, RevPAR is projected at AED 560-802 with eight nights per reservation, and a booking lead time of 34-62 days.
GuestReady Dubai managing director Reem Al Khatib told AME Info: “In line with its vision to be a leading cultural, entertainment, retail, and investment hub, Dubai has been organising a number of mega events packed with a host of activations and festivals every year and as a result, the city has witnessed progressive improvement in annual visitor footfall growth.
“With 2020 being a milestone year for the emirate as it is set to host highly anticipated events such as Expo 2020 Dubai, holiday homes are projected to experience a substantial increase across three key KPIs of occupancy, ADR and RevPAR. We have reaffirmed our commitment to delivering superior value to our customers by providing the actionable insights that will help them plan ahead to capitalise on forthcoming opportunities to generate additional returns,” she added.
During the summer period between May and September, vacation rental homes in Dubai experience a slower season as the ADR varies from AED 467- 565.
However, according to GuestReady Dubai insights, all of the active properties combined could earn up to AED 79.65 million in revenues, reaching an expected ADR of AED 495 and an average of nine nights per booking throughout Dubai Summer Surprises, which runs from 21 June to 3 August.
RevPAR per day is also predicted to rise to AED 318.43 during the event compared to AED 228.83 at times of no events.
During the February-April and November-December peak holiday season periods, vacation rental owners in Dubai are projected to experience AED 571-800 in ADR, with December expected to be the busiest month overall around New Year celebrations.
RevPAR measures properties’ financial performances, generating insights into how much revenue is brought in from bookings. It is calculated by multiplying the percentage of available rooms sold [occupancy] by the rate charged for those rooms.
For more information, visit the GuestReady Dubai website here.