Dubai’s hotel inventory grew to almost 152,300 rooms across 818 hotels in the first eight months of 2025, with occupancy and average daily rates (ADR) also increasing compared with the same period last year, according to new research by leading real estate advisory group, Cavendish Maxwell. Between January and August, premium segments accounted for the majority of supply, with 54,100 rooms in the 5-star category and 43,400 in 4-star hotels. Together, they made up almost two thirds (64%) of Dubai’s total hotel stock, the company said.
Cavendish Maxwell’s report, released to coincide with the Future Hospitality Summit World, comes as Dubai’s tourism sector reaches another new high, with 12.54 million international visitors in the first 8 months of the year – up more than 5% on the same time in 2024.
Vidhi Shah, Director, Head of Commercial Valuation at Cavendish Maxwell, said: “Dubai’s hospitality market has performed strongly so far in 2025, with passenger traffic, international visitor numbers, occupancy rates, and average daily rates all rising compared with the same period last year. This growth is supported by the city’s safety, accessibility, diverse offerings and vibrant calendar of events, with Government-led initiatives and new attractions further enhancing Dubai’s appeal.
“As we enter the peak travel period and the height of Dubai’s events season, with Eid Al Etihad and the festive season looming large, international visitor arrivals are conservatively forecast to reach 19.5 million by year-end, while hotel occupancy for the rest of 2025 is expected to reach 78.5%. Average daily rates are also projected to rise, driven by ongoing leisure and business travel, the expansion of premium hotel supply, and Dubai’s status as a leading global luxury destination.”
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