GCC set to deliver nearly 126,000 new hotel rooms by 2030, taking total supply to 616,000 keys
2026 regional occupancy down but ADR holds as market adjusts to demand dynamics
Cavendish Maxwell reports GCC hotel supply will grow 25% to 616,000 rooms by 2030, while 2026 occupancy has fallen across all six markets due to regional tensions disrupting international travel.
Dubai, UAE – Countries across the Gulf Cooperation Council (GCC) are set to deliver nearly 126,000 new hotel rooms by 2030, boosting existing supply by 25% and taking total room inventory to 616,000, according to new insight from leading real estate advisory and hospitality property consultancy, Cavendish Maxwell.
The six GCC countries – the UAE, KSA, Oman, Bahrain, Kuwait and Qatar – currently have close to 490,000 rooms in operation, with around 43% in the UAE. As of August 2026, there were 212,135 keys in the Emirates, including around 151,380 in Dubai.
Saudi Arabia leads the GCC hotel expansion, with almost 94,500 new rooms in the pipeline, taking its planned 2030 total to nearly 275,300. In second place is the UAE, which has an upcoming supply of more than 23,000 rooms, including 11,180 in Dubai.
Cavendish Maxwell’s research, released at the 2026 edition of Future Hospitality Summit World, also reveals GCC hotel occupancy and average daily rates (ADR) for the first 8 months of 2026 when, after a strong start to the year, regional tension affected international travel and forced the hospitality market to adjust to reduced demand.
Year-on-year, occupancy rates from January to August fell in all GCC countries, but the percentage drop varied widely. With 59% occupancy, Saudi Arabia fared the best, with a decline of just under 3% compared to the same period in 2026. Bahrain, which averaged just under 37% occupancy, saw the biggest drop, at 31%.
Occupancy averaged 59% in the UAE, down almost a quarter, with Dubai seeing a 27% drop. Elsewhere, occupancy stood at approximately 38% in Kuwait (down 18%); 48% in Oman (down 13%) and 60% in Qatar.
The GCC hospitality market entered 2026 with considerable momentum, but regional tension from March triggered a pronounced demand shock, disrupting international air connectivity, dampening traveller confidence and creating challenging trading conditions.
Saudi Arabia’s relatively strong performance has been supported by robust domestic tourism, pilgrimage activity and continued development under Vision 2030. Religious tourism provides a structural demand base that is less exposed to international travel disruption, while strong domestic activity helps cushion the impact of softer inbound arrivals. This means that KSA is comparatively better positioned for Q4.
Meanwhile, the UAE, led by Dubai, is among the markets most affected by the disruption, given its exposure to long-haul international travel. The restoration of air connectivity remains a primary driver for recovery, supported by the government’s US$680 million + relief package and intensified destination marketing. Dubai’s average occupancy, boosted by the peak travel season and events calendar, is forecast at 60% to 66%, with an ADR between US$163 and US$183 – both below 2025 levels.
Vidhi Shah MRICS, Director, Head of Commercial Valuation at Cavendish Maxwell
While occupancy across the region declined, ADR between January and August 2026 held relatively firm – and actually climbed slightly in Kuwait, Oman and KSA – as hotel operators prioritised rate preservation over volume.
Kuwait’s ADR in the first 8 months of 2026 was just below US$199, up 3.2% on the same period last year. In Oman, ADR rose nearly 1% year-on-year to US$142 and in KSA it was up 0.6% at around US$199. ADR dropped 4.5% in Qatar, where January-August prices were US$117, and 7% in the UAE (US$165). In Dubai ADR was just under US$168, down nearly 9%.
Vidhi Shah added: “Oman entered the year as one of the GCC’s stronger performers before a sharp Q2 reversal. The recent Khareef season and upcoming winter period are anchors for H2 demand, while limited new supply this year should limit additional competitive pressure. In Qatar, the international visitor market is gradually normalising and planned upcoming events like the Qatar MotoGP and Formula 1 Grand Prix expected to further support occupancy and ADR.
“Ultimately, the pace of improvement across the GCC will depend on regional conditions, back-to-normal air travel and the strength of returning visitor demand. The timing and extent of any uptick remain uncertain, with individual markets continuing to be influenced by their source-market mix, seasonality, events calendars and supply dynamics.”
Download the report here.
About Cavendish Maxwell
Cavendish Maxwell is a leading Middle East real estate advisory group and property consultancy, with offices in Dubai, Abu Dhabi, Sharjah, Ajman, Ras Al Khaimah, Kuwait City, Muscat and Riyadh. A member of the Royal Institution of Chartered Surveyors (RICS), the company provides valuation, strategic advisory, research, project and commercial management, building surveying, and investment agency services across the region. With a multidisciplinary team of experienced professionals and an unwavering commitment to quality, integrity and client service, Cavendish Maxwell is firmly established as a trusted advisor to governments, financial institutions, investors, developers and corporate occupiers throughout the Middle East.