Dubai emerges as 'Rising Giant' among 106 cities

Dubai figures among the top tier cities in the world with the largest hotel markets

Not surprisingly, Dubai has made itself on the list of 'Rising Giants' in JLL's Hotels & Hospitality Group's new report The Changing Global Landscape of Hospitality.
The report is a detailed analysis of 106 cities across the globe that covers demand, construction, investment and performance. Hotel markets were scored on the basis of both their 'Magnitude' - their scale in terms of room numbers and investment - and 'Momentum' - the speed of change in a market based on construction, socio-economic growth and changes in performance.
"The global hotel industry is being reshaped by technological disruption, changing consumer behaviour and new market players," said Lauro Ferroni, Global Head of Hotels & Hospitality Research at JLL. "This structural shift has encouraged us to rethink how we assess market opportunity and risk, which was one of the driving forces behind this report."
"There has been a significant shift in the hospitality industry globally as the markets are continuously evolving with the industrial revolution 4.0 now in its implementation phase. At JLL, we have been able to witness this change in the Middle East, particularly in Dubai, as the hospitality markets here are now poised to adapt technological advancements," said Marko Vucinic, senior vice president, acting head of hotels & hospitality group, MENA.
Out of the 106 markets analysed, JLL categorized five clusters of cities to watch:

Global Giants - Nine elite markets that attract half of global hotel real estate investment, with New York & London alone accounting for 30% of the global total. 
Rising Giants - Dynamic cities that have matured quickly to now sit among the world's largest hotel markets. However, investment into the hotels sector is yet to match their scale. This group includes the top-tier Chinese cities of Shanghai and Beijing, as well as Dubai and Bangkok.
Gateways - The second tier of mature markets, such as San Francisco, Berlin and Osaka, which account for another 25 percent of global hotel investment. Among this group Dallas, Sydney and Singapore are currently showing strongest momentum.
New World Cities - Mid-sized cities that have outperformed in key lodging fundamentals in recent years. This group is typified by the likes of Seattle, Dublin and Melbourne which have seen strong demand and increasing investor interest.
Emerging Hotspots - Rising stars that are experiencing rapid expansion and increasing global visibility. They have some of the largest supply pipelines in the world and are set to see their total number of rooms increased by 30 per cent in the next few years. This group is dominated by Asian and Middle Eastern cities, as exemplified by Bangalore, Chengdu, Ho Chi Minh City and Jeddah.

• Dubai