New construction projects are planning to enrich the hotel industry of Dublin by adding as many as 3,000 new hotel bedrooms within 2020 marking a 15% increase in the total stock.
Currently, developments in the pipeline would be adding new units in the hotel and budget sectors that are under-represented in this region, as per a research from property group Savills’ Hotels and Leisure division. Savills have analyzed hotel in the current planning process.
All of them have received planning approval or are presently under construction.
It has been discovered that over 3,000 bedrooms would be constructed by the end of the year 2019. Right now, Dublin has a stock of approximately 19,000 bedrooms. Increasing hotel costs at the peak times and those associated with important business conferences have given rise to fears that a lack of supply would actually hurt tourism by offering a blow of competitiveness.
Tom Barrett, Director, Savills Hotels & Leisure stated that a majority of Dublin hotels generally trade in the corporate and leisure markets.
He added that development is also targeted in both these sides. Hotel capacity is also a concern for the European Council. It mentioned that cities trying to win the European Medicines Agency (EMA) must be meeting the conditions like having a peak hotel capacity of 350 rooms to meet the needs of the 36,000 annual visitors of the agency.
Savills feels that new hotel development in Dublin is now aiming to operate in some key areas.
Next year, about 55% of new hotel bedrooms would be coming from new hotels. Within 2019, Savills expects that nearly 90% of the new supply would be coming from new hotels.
