Middle East Hotel Benchmark Survey. May 2011

Middle East Hotel Benchmark Survey May 211

Introduction Introduction Ernst & Young We hope you enjoy the May 211 report of the Ernst & Young Middle East Hotel Benchmark Survey. Inside we cover occupancy and rate performance in key hotel markets across selected countries and cities in the Middle East on a monthly and year-to-date basis in local currencies and US dollars. This monthly and our monthly Spa Industry Benchmark Survey are part of our services to the hospitality sector. Ernst & Young s Transaction Real Estate Advisory Services team headquartered in Dubai is the leading business advisory practice in the region. Our team consists of professionals from around the globe with extensive real estate, hospitality operations and advisory experience. We understand and offer a full scope of multidisciplinary services for developers, lenders, owners and operators. Our specialist services include acquisitions, capital sourcing, highest and best use analysis, due diligence, market and financial feasibility studies, management company selection/contract reviews, strategic business planning, repositioning analysis, operational enhancement/diagnostics, valuations/appraisals and disposition, for every real estate industry segment such as hotel, residential, commercial, retail, restaurant, golf, marina, theme park and convention center. Ernst & Young is the largest professional services firm in Middle East with 2 offices in 15 countries and part of the global Ernst & Young network with over 141, people in 14 countries. Sincerely Yousef Wahbah Partner and Head of MENA Transaction Real Estate 2

Ernst & Young % Occupancy Makkah Hotels Occupancy % May 21 - May 211 1 Occupancy % 9 8 7 6 5 4 72 7 78 81 62 88 44 65 81 86 9 74 3 31 2 1 Hurghada Hotels (US$) May 21 - May 211 7 6 63 5 4 3 42 36 43 49 42 55 49 49 52 32 33 28 2 1 Rev PAR in Amman Hotels (US$) Room Yield May 21 - May 211 14 12 12 121 1 16 Room Yield 8 6 91 69 82 89 71 73 79 77 87 79 4 2 Ernst & Young 3

% Occupancy Dubai - Overall Hotels Occupancy % May 21 - May 211 1 9 8 78.1 78 87.3 82 82 9.2 85.6 85.8 76.7 Occupancy % 7 6 5 4 68.6 68.5 56.1 65.3 3 2 1 Dubai - Overall Hotels (US$) May 21 - May 211 3 25 25 262 231 245 256 262 269 2 15 1 188 154 15 144 177 193 5 Rev PAR in Dubai - Overall Hotels (US$) Room Yield May 21 - May 211 25 228 231 224 231 2 195 189 21 Room Yield 15 1 147 15 13 115 148 81 5 4 Ernst & Young

Monthly Performance: 5/211 Currency: Local Occupancy Rooms Yield Bahrain Currency 211 21 Change in 211 21 Change 211 21 Change % % % Points Manama BHD 23. 8. -57. 96 89 8.% 22 72-69.1% Egypt Cairo - City EGP 31. 74. -43. 676 624 8.3% 215 465-53.7% Cairo -Overall EGP 34.3 75.1-4.9 691 632 9.3% 237 475-5.2% Hurghada EGP 61. 84. -23. 163 24-32.% 1 23-5.8% Sharm El Shaikh EGP 43. 86. -43. 26 317-18.% 113 273-58.8% Jordan Amman JOD 55. 74. -19. 11 113-1.8% 55 85-34.5% Kuwait Kuwait KWD 55. 54. 1. 79 76 3.7% 44 41 5.1% Lebanon Beirut LBP 58. 71. -13. 35,98 333,94-8.4% 179,845 24,138-25.1% Oman Muscat OMR 52. 64. -12. 78 76 2.8% 41 49-17.5% Qatar Doha QAR 66. 73. -7. 1,13 1,77-5.9% 671 788-14.8% Saudi Arabia Jeddah SAR 71. 71.. 78 789-1.1% 561 568-1.3% Madina SAR 77. 68. 9. 432 421 2.6% 337 289 16.4% Makkah SAR 74. 72. 2. 613 588 4.1% 455 425 6.9% Riyadh SAR 68. 66. 2. 95 89 1.7% 623 59 5.6% United Arab Emirates Abu Dhabi AED 73. 73.. 67 751-1.8% 494 554-1.8% Dubai - Apartments AED 75. 79. -4. 392 415-5.5% 296 331-1.5% Dubai - Beach AED 79. 87. -8. 994 887 12.1% 786 773 1.7% Dubai - City AED 75. 73. 2. 57 591-3.5% 43 431 -.2% Dubai - Overall AED 76.7 78.1-1.4 77 692 2.2% 542 54.4% Notes Figures may not add up due to rounding. 'Cairo - Overall' includes: Cairo City and Cairo Pyramid Hotels. ' Dubai-Overall' Includes: Dubai Beach,Dubai City and Dubai Apartment Hotels The was developed and is maintained by Ernst & Young's Dubai office under the direction of Yousef Wahbah who leads the Transaction Real Estate Advisory Services Group across the MENA region. It is intended for informational use only. The reader should consult his or her professional investment advisor, attorney, or accountant before making any decision or taking any action based upon the information presented in this document. Benchmark data is provided by individual hotel companies. While we believe the data collected is reliable, Ernst & Young has not performed an audit or review of the information gathered and does not express an opinion or any form of assurance on the accuracy of such information. This report is also proprietary of Ernst & Young and no part of this report, in whole or in part, may be reproduced or transmitted without written consent of Ernst & Young. All requests to reproduce this information must be addressed to yousef.wahbah@ae.ey.com. For information regarding the Hotel Benchmark, contact the Dubai office of Ernst & Young at +971 4 332 4. Ernst & Young 5

Monthly Performance: 5/211 Currency: US $ Occupancy Rooms Yield Bahrain Currency 211 21 Change in 211 21 Change 211 21 Change % % % Points Manama US $ 23. 8. -57. 254 235 8.% 59 19-69.1% Egypt Cairo - City US $ 31. 74. -43. 117 18 8.3% 37 81-53.7% Cairo -Overall US $ 34.3 75.1-4.9 12 11 9.3% 41 82-5.2% Hurghada US $ 61. 84. -23. 28 42-32.% 17 35-5.8% Sharm El Shaikh US $ 43. 86. -43. 45 55-18.% 2 47-58.8% Jordan Amman US $ 55. 74. -19. 143 161-1.8% 79 12-34.5% Kuwait Kuwait US $ 55. 54. 1. 271 261 3.7% 149 142 5.1% Lebanon Beirut US $ 58. 71. -13. 22 22-8.4% 119 158-25.1% Oman Muscat US $ 52. 64. -12. 22 197 2.8% 16 128-17.5% Qatar Doha US $ 66. 73. -7. 279 296-5.9% 184 217-14.8% Saudi Arabia Jeddah US $ 71. 71.. 28 21-1.1% 15 151-1.3% Madina US $ 77. 68. 9. 115 112 2.6% 9 77 16.4% Makkah US $ 74. 72. 2. 163 157 4.1% 121 113 6.9% Riyadh US $ 68. 66. 2. 241 237 1.7% 166 157 5.6% United Arab Emirates Abu Dhabi US $ 73. 73.. 182 24-1.8% 134 151-1.8% Dubai - Apartments US $ 75. 79. -4. 17 113-5.5% 81 9-1.5% Dubai - Beach US $ 79. 87. -8. 271 241 12.1% 214 211 1.7% Dubai - City US $ 75. 73. 2. 155 161-3.5% 117 117 -.2% Dubai - Overall US $ 76.7 78.1-1.4 193 188 2.2% 148 147.4% Notes Figures may not add up due to rounding. 'Cairo - Overall' includes: Cairo City and Cairo Pyramid Hotels. ' Dubai-Overall' Includes: Dubai Beach,Dubai City and Dubai Apartment Hotels The was developed and is maintained by Ernst & Young's Dubai office under the direction of Yousef Wahbah who leads the Transaction Real Estate Advisory Services Group across the MENA region. It is intended for informational use only. The reader should consult his or her professional investment advisor, attorney, or accountant before making any decision or taking any action based upon the information presented in this document. Benchmark data is provided by individual hotel companies. While we believe the data collected is reliable, Ernst & Young has not performed an audit or review of the information gathered and does not express an opinion or any form of assurance on the accuracy of such information. This report is also proprietary of Ernst & Young and no part of this report, in whole or in part, may be reproduced or transmitted without written consent of Ernst & Young. All requests to reproduce this information must be addressed to yousef.wahbah@ae.ey.com. For information regarding the Hotel Benchmark, contact the Dubai office of Ernst & Young at +971 4 332 4. 6 Ernst & Young

Year-to-Date Performance: 1/211-5/211 Currency: Local Occupancy Rooms Yield Bahrain Currency 211 21 % % Change in % Points 211 21 Change 211 21 Change Manama BHD 26. 7. -44. 95 1-5.6% 25 71-65.3% Egypt Cairo - City EGP 34. 77. -43. 728 653 11.5% 248 56-5.9% Cairo - Pyramids EGP 48. 77. -29. 779 681 14.3% 38 525-27.7% Cairo -Overall EGP 35. 77. -42. 737 656 12.2% 265 58-47.8% Hurghada EGP 47. 86. -39. 22 25-12.% 14 217-52.1% Sharm El Shaikh EGP 43. 87. -44. 332 354-6.1% 144 311-53.8% Jordan Amman JOD 54. 64. -1. 12 15-3.1% 56 68-17.7% Kuwait Kuwait KWD 59. 58. 1. 82 79 3.9% 49 46 6.4% Lebanon Beirut LBP 52. 72. -2. 37,481 372,61-17.5% 16,759 268,818-4.2% Oman Muscat OMR 69. 74. -5. 82 8 3.1% 57 59-4.% Qatar Doha QAR 71. 72. -1. 1,2 1,94-8.4% 717 79-9.2% Saudi Arabia Jeddah SAR 7. 73. -3. 782 777.7% 554 569-2.7% Madina SAR 67. 66. 1. 518 514.8% 351 342 2.8% Makkah SAR 79. 77. 2. 738 691 6.7% 586 534 9.8% Riyadh SAR 66. 61. 5. 94 9.5% 599 554 8.2% United Arab Emirates Abu Dhabi AED 8. 75. 5. 86 941-8.6% 689 78-2.8% Al Ain AED 71. 73. -2. 64 656-8.% 434 485-1.5% Dubai - Apartments AED 85. 85.. 434 443-2.2% 371 377-1.4% Dubai - Beach AED 85. 85.. 1,368 1,247 9.7% 1,166 1,63 9.7% Dubai - City AED 83. 78. 5. 686 73-2.5% 57 553 3.% Dubai - Overall AED 83. 81. 2. 93 879 2.7% 757 713 6.2% Notes Figures may not add up due to rounding. 'Cairo - Overall' includes: Cairo City and Cairo Pyramid Hotels. ' Dubai-Overall' Includes: Dubai Beach,Dubai City and Dubai Apartment Hotels The was developed and is maintained by Ernst & Young's Dubai office under the direction of Yousef Wahbah who leads the Transaction Real Estate Advisory Services Group across the MENA region. It is intended for informational use only. The reader should consult his or her professional investment advisor, attorney, or accountant before making any decision or taking any action based upon the information presented in this document. Benchmark data is provided by individual hotel companies. While we believe the data collected is reliable, Ernst & Young has not performed an audit or review of the information gathered and does not express an opinion or any form of assurance on the accuracy of such information. This report is also proprietary of Ernst & Young and no part of this report, in whole or in part, may be reproduced or transmitted without written consent of Ernst & Young. All requests to reproduce this information must be addressed to yousef.wahbah@ae.ey.com. For information regarding the Hotel Benchmark, contact the Dubai office of Ernst & Young at +971 4 332 4. Ernst & Young 7

Year-to-Date Performance: 1/211-5/211 Currency: US $ Occupancy Rooms Yield Bahrain Currency 211 21 % % Change in % Points 211 21 Change 211 21 Change Manama US $ 26. 7. -44. 251 266-5.6% 66 189-65.3% Egypt Cairo - City US $ 34. 77. -43. 126 113 11.5% 43 88-5.9% Cairo - Pyramids US $ 48. 77. -29. 135 118 14.3% 66 91-27.7% Cairo -Overall US $ 35. 77. -42. 128 114 12.2% 46 88-47.8% Hurghada US $ 47. 86. -39. 38 43-12.% 18 38-52.1% Sharm El Shaikh US $ 43. 87. -44. 58 61-6.1% 25 54-53.8% Jordan Amman US $ 54. 64. -1. 145 149-3.1% 79 96-17.7% Kuwait Kuwait US $ 59. 58. 1. 28 27 3.9% 167 157 6.4% Lebanon Beirut US $ 52. 72. -2. 23 246-17.5% 16 177-4.2% Oman Muscat US $ 69. 74. -5. 213 27 3.1% 147 154-4.% Qatar Doha US $ 71. 72. -1. 276 31-8.4% 197 217-9.2% Saudi Arabia Jeddah US $ 7. 73. -3. 29 27.7% 148 152-2.7% Madina US $ 67. 66. 1. 138 137.8% 94 91 2.8% Makkah US $ 79. 77. 2. 197 184 6.7% 156 142 9.8% Riyadh US $ 66. 61. 5. 241 24.5% 16 148 8.2% United Arab Emirates Abu Dhabi US $ 8. 75. 5. 234 256-8.6% 188 193-2.8% Al Ain US $ 71. 73. -2. 164 179-8.% 118 132-1.5% Dubai - Apartments US $ 85. 85.. 118 121-2.2% 11 13-1.4% Dubai - Beach US $ 85. 85.. 373 34 9.7% 318 29 9.7% Dubai - City US $ 83. 78. 5. 187 191-2.5% 155 151 3.% Dubai - Overall US $ 83. 81. 2. 246 239 2.7% 26 194 6.2% Notes Figures may not add up due to rounding. 'Cairo - Overall' includes: Cairo City and Cairo Pyramid Hotels. ' Dubai-Overall' Includes: Dubai Beach,Dubai City and Dubai Apartment Hotels The was developed and is maintained by Ernst & Young's Dubai office under the direction of Yousef Wahbah who leads the Transaction Real Estate Advisory Services Group across the MENA region. It is intended for informational use only. The reader should consult his or her professional investment advisor, attorney, or accountant before making any decision or taking any action based upon the information presented in this document. Benchmark data is provided by individual hotel companies. While we believe the data collected is reliable, Ernst & Young has not performed an audit or review of the information gathered and does not express an opinion or any form of assurance on the accuracy of such information. This report is also proprietary of Ernst & Young and no part of this report, in whole or in part, may be reproduced or transmitted without written consent of Ernst & Young. All requests to reproduce this information must be addressed to yousef.wahbah@ae.ey.com. For information regarding the Hotel Benchmark, contact the Dubai office of Ernst & Young at +971 4 332 4. 8 Ernst & Young

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