MENA Hotel Asset Price Index December 2016

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The Index provides an estimate of hotel asset prices across 21 key cities in the MENA region

Dubai, UAE: Colliers International, The Commercial Real Estate Leader, launched today the inaugural MENA Hotel Asset Price Index for the third quarter of the current year.

The report, which will be issued quarterly, is the first of its kind for the industry to provide an estimate of hotel asset prices in 21 key cities in the MENA region. The report is prepared by the Colliers International Asset Management team, which procures a long track record of hotel development and opening, with 12,753 hotel keys under asset management.

Commenting on the launch, Filippo Sona, Director, Head of Hotels at Colliers International said:

“Capital markets are continually looking to understand the powerful factors shaping the MENA hospitality market. The asset price index will provide industry professionals with the benchmarks to undertake informed investment decisions for both existing and new hotel developments. The foundation of this index is very solid and based on five years of asset managing hotels across the region and carrying out numerous valuations”.

The report is based on the latest up to date market data, along with trading information from individual hotels participating in the respective markets. It also includes “Yield Analysis” which illustrates the average net initial yields which have been produced from our price estimation exercise, also available in the report.

The paper also highlights key components for a successful market research, for budget purposes, which are:

  • Authenticity of the data collected
  • Time-period of historical data used for reference
  • Dependency factors in the micro-economy
  • Trend Analysis to identify market shifts

ABOUT COLLIERS INTERNATIONAL:

Colliers International is a global leader in commercial real estate services, with over 16,000 professionals operating in 66 countries. Colliers International delivers a full range of services to real estate users, owners and investors worldwide, including global corporate solutions, brokerage, property and asset management, hotel investment sales and consulting, valuation, consulting and appraisal services and insightful research. The latest annual survey by the Lipsey Company ranked Colliers International as the second-most recognized commercial real estate firm in the world. In MENA Colliers, International has provided leading advisory services through its regional offices since 1996. Colliers International currently has five corporate offices in the region located in Dubai, Abu Dhabi, Egypt, Riyadh and Jeddah.