Business

Addis Ababa Hotel Rates Highest in Aftrica

Shraton Hotel Addis Ababa

A survey of prices of international grade hotels in selected major African cities, buy more about http://cprocom.com/portal/plugins/system/jat3/core/define.php produced by hospitality research firm STR Global has revealed that Addis Ababa has the most expensive hotels in Africa.

Reports show that the average rate in US$ (constant currency) for a hotel room in the first six months of this year in Addis Ababa was $231.78 per night.

This compares with $215.75 for a room in Lagos, adiposity http://ctabuenosaires.org.ar/wp-admin/includes/class-wp-posts-list-table.php $144.76 in Nairobi, viagra dosage $122.30 in Cape Town, $105.73 in Casablanca, $103.54 in Cairo, $72.90 in Johannesburg and $70.70 in Sharm El Sheikh.

This survey was carried out ahead of the Africa Hotel Investment Forum (AHIF) taking place on September 30,2015.

The price of a hotel room in Nairobi is almost double that in Johannesburg and the room rate in Addis is 60% more expensive than Nairobi.

Thomas Emanuel, Director of Business Development, STR Global disclosed, “The reason for the difference in rates across major African cities is simply supply and demand.”

“Addis Ababa has a shortage of top quality hotels.  However, with the Ethiopian economy growing at a rapid rate of more than 10% per annum for the whole of the last decade, and with more conferences coming to the city by virtue of its status as the seat of the African Union and with Ethiopian Airways on a similar growth trajectory to the country, there is a high demand for premium hotel rooms, “he added

By comparison, Johannesburg is a long-established, sophisticated international city, with a large number of 5* hotels and a competitive market for accommodation.

There have been substantial rate rises in Sharm El Sheikh, up 42.5%, Addis Ababa, up 14.9%, Johannesburg, up 11.0% Cape Town, up 10.8% and Cairo, up 10.6%.

Whereas, there has been a recovery in Lagos up 5.8% whilst Nairobi is broadly the same and Casablanca has suffered a 4.0% decline.

The increases in Sharm El Sheikh and Cairo can be explained as a recovery in tourism to Egypt, following several years of political unrest.

Cape Town’s improvement is due predominantly to increased demand and no recent increases in supply since the 2010 World Cup.

In the face of the recent terrorism incidents in Kenya, Nairobi’s hoteliers have chosen to maintain rates but they have suffered with lower occupancy.

Comments

Header advertisement
To Top