{"id":13536,"date":"2026-09-24T19:57:28","date_gmt":"2026-09-24T16:57:28","guid":{"rendered":"https:\/\/sahfy.net\/news\/?p=13536"},"modified":"2026-09-27T15:32:18","modified_gmt":"2026-09-27T12:32:18","slug":"us90-billion-hotel-pipeline-set-to-expand-gcc-and-north-africa-room-supply-by-27-percent","status":"publish","type":"post","link":"https:\/\/sahfy.net\/news\/?p=13536&lang=en","title":{"rendered":"US$90 BILLION HOTEL PIPELINE SET TO EXPAND GCC AND NORTH AFRICA ROOM SUPPLY BY 27 PERCENT\u00a0"},"content":{"rendered":"<p><b><\/b><span style=\"font-weight: 400\">The GCC and North Africa has US$90 billion worth of hotels and resorts in the pipeline, with 200,000 upcoming new rooms set to boost the region\u2019s existing supply by 27 percent, according to HVS data released ahead of the 2026 edition of <\/span><a href=\"https:\/\/futurehospitality.com\/world\"><span style=\"font-weight: 400\">Future Hospitality Summit \u2013 FHS World<\/span><\/a><span style=\"font-weight: 400\">, taking place at Madinat Jumeirah in Dubai from 29 September \u2013 1 October.<\/span><\/p>\n<p><span style=\"font-weight: 400\">With around 88,000 rooms currently under construction and another 25,000 in the final planning stages, over 55% of upcoming hotels in the region are set to be delivered between now and 2030, experts say.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400\">Research from global hospitality consultancy, HVS, shows that Saudi Arabia is the dominant force in the Middle East\u2019s hotel expansion, with 110,000 rooms \u2013 around 50% of the regional pipeline \u2013 under development in Riyadh, Makkah, Madinah, Diriyah, NEOM, the Red Sea and AMAALA. The scale of development is unprecedented, but equally significant is the increasing diversification of products, from large pilgrimage-focused hotels to luxury resorts, branded residences and upper midscale accommodation, the company added.<\/span><\/p>\n<p><span style=\"font-weight: 400\">With 42,000 rooms in the pipeline, Egypt is the second most active country, with projects in Cairo, the North Coast, the Red Sea and emerging mixed-use destinations. Third is the UAE which, as a comparatively mature market, continues to evolve through destination-led developments, particularly in Dubai, Abu Dhabi and Ras Al Khaimah, where projects such as Wynn Al Marjan Island are further expanding the country&#8217;s international appeal.<\/span><\/p>\n<p><b>Hala Matar Choufany, President, Middle East, Africa and South Asia at HVS<\/b><span style=\"font-weight: 400\">, said: \u201cThe hotel development pipeline across the GCC and North Africa remains one of the most significant globally, reflecting continued investor confidence in the long-term fundamentals of the region&#8217;s tourism and hospitality sectors. The region\u2019s investment in hotel expansion underscores not only the scale of development, but also the depth of capital that continues to back the region&#8217;s tourism ambitions.\u201d\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400\">HVS insight shows that capital is being deployed with greater discipline than before, increasingly favouring mixed-use developments, branded residences and phased delivery models that improve project economics and manage risk more effectively.\u00a0 Funding models have also evolved, with increasingly diverse capital structures.<\/span><\/p>\n<p><span style=\"font-weight: 400\">\u201cThe region&#8217;s hotel pipeline is no longer just a story of scale, it&#8217;s one of discipline, with capital deployed with far greater intention. But what\u2019s changed the most is how projects are financed. The sector has moved well beyond the traditional mix of developer equity and bank debt. In Saudi Arabia especially, large-scale destination developments are being underpinned by government-backed investment vehicles and strategic public-private partnerships, while developers across the wider region are diversifying revenue streams through branded residences and mixed-use components,\u201d said Hala Matar Choufany.<\/span><\/p>\n<p><span style=\"font-weight: 400\">The 200,000 new rooms will be delivered in phases, hitting the market progressively rather than all at once. Around 44% are currently being built, with much of the remaining supply expected to be handed over in stages through to 2030 and beyond.<\/span><\/p>\n<p><span style=\"font-weight: 400\">Delivery will also vary between markets, with some operating on long-term timelines and others more immediate, according to HVS. In Saudi Arabia, major destination projects are being delivered in phases extending well into the next decade, while the UAE&#8217;s delivery pipeline is shorter term, with a significant proportion expected by 2028-2030. In Egypt, the development cycle is spread across several years, particularly in the North Coast, Cairo and Red Sea destinations.<\/span><\/p>\n<p><span style=\"font-weight: 400\">The high-end hotel segment \u2013 luxury and upper-upscale properties \u2013 continue to represent the biggest share of hotel supply, reflecting strong investor appetite for premium experiences, branded products and integrated resort destinations. At the same time, there is growing activity in the upper midscale segment, particularly in Saudi Arabia, where brands such as Hampton by Hilton, Holiday Inn Express, Fairfield by Marriott and ibis are expanding to support broader tourism objectives and offer more accessible accommodation options.<\/span><\/p>\n<p><b>Hala Matar Choufany<\/b><span style=\"font-weight: 400\"> added: \u201cThe next phase of the region\u2019s hospitality industry will not be defined solely by the number of hotels delivered. Success will increasingly depend on the fundamentals that support long-term performance. Connectivity remains critical, whether through expanded airlift, transport infrastructure or seamless digital access. Equally important is service delivery: as new destinations emerge, investing in talent, operational excellence and guest experience will be essential to ensuring that new supply translates into sustainable demand and attractive investor returns.<\/span><\/p>\n<p><span style=\"font-weight: 400\">\u201cThe outlook for the region remains positive, but, as capital becomes more selective and markets more competitive, future winners will be those destinations that combine ambitious development plans with strong execution, connectivity and service excellence. Ultimately, the focus is shifting from simply building hotels to creating sustainable, globally competitive hospitality ecosystems.\u201d<\/span><\/p>\n<p><b>Ali Shahid, CEO of The Bench, organisersof FHS World<\/b><span style=\"font-weight: 400\">, said <\/span><span style=\"font-weight: 400\">\u201cThis data reflects the extraordinary scale of opportunity across the region, and the increasing sophistication of the region\u2019s hospitality investment landscape. At FHS World, investment and real estate will be at the core of the conference agenda, with industry leaders examining where global capital sees opportunity and how investors are recalibrating for returns.\u201d\u00a0<\/span><\/p>\n<p><a href=\"https:\/\/futurehospitality.com\/world\"><span style=\"font-weight: 400\">FHS World 2026<\/span><\/a><span style=\"font-weight: 400\"> takes place at Madinat Jumeirah in Dubai, 29 September to 1 October, under the theme \u2018<\/span><i><span style=\"font-weight: 400\">Reinvest in our Future\u2019<\/span><\/i><span style=\"font-weight: 400\">.\u00a0 See the full <\/span><a href=\"https:\/\/futurehospitality.com\/world\/agenda\"><span style=\"font-weight: 400\">agenda here<\/span><\/a><span style=\"font-weight: 400\">, and discover the <\/span><a href=\"https:\/\/futurehospitality.com\/world\/speakers\"><span style=\"font-weight: 400\">growing list of industry-leading speakers here<\/span><\/a><span style=\"font-weight: 400\">.\u00a0<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The GCC and North Africa has US$90 billion worth of hotels and resorts in the pipeline, with 200,000 upcoming new rooms set to boost the region\u2019s existing supply by 27 percent, according to HVS data released ahead of the 2026 edition of Future Hospitality Summit \u2013 FHS World, taking place at Madinat Jumeirah in Dubai [&hellip;]<\/p>\n","protected":false},"author":5,"featured_media":13537,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"tdm_status":"","tdm_grid_status":"","footnotes":""},"categories":[91,39,83,19,130,43,87,15,55,103,3714,3716,35841],"tags":[2678,37233,22796,39207,7193,698,2036,39187,1926,3576,39203,39197,18482,39189,39007,39185,39209,14000,39195,39199,21674,21992,996,5484,11788,596,220,37219,39205,39193,365,39191,39211,39201],"class_list":["post-13536","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-arab-countries-en","category-business-economy-en","category-egypt-en","category-events-en","category-featured-en","category-finance-investment-en","category-gcc-en","category-press-releases","category-real-estate","category-reports-research","category-saudi","category-uae","category-united-arab-emirates-uae","tag-abu-dhabi","tag-ali-shahid","tag-amaala","tag-branded-residences","tag-diriyah","tag-dubai","tag-egypt","tag-fhs-world-2026","tag-future-hospitality-summit","tag-gcc","tag-hala-matar-choufany","tag-hospitality-expansion","tag-hospitality-investment","tag-hotel-pipeline","tag-hotels-and-resorts","tag-hvs-data","tag-luxury-resorts","tag-madinah","tag-madinat-jumeirah","tag-makkah","tag-mixed-use-developments","tag-neom","tag-north-africa","tag-ras-al-khaimah","tag-red-sea","tag-riyadh","tag-saudi-arabia","tag-the-bench","tag-tourism-sectors","tag-tourism-supply","tag-uae","tag-upcoming-rooms","tag-upper-midscale-accommodation","tag-wynn-al-marjan-island"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v19.6.1 - 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