Dubai’s mid-market hotels maintained comparatively higher occupancy than those in the premium sector in H1 2026 as regional airspace disruption and heightened geopolitical uncertainty weighed on hotel demand, says leading real estate advisory and property consultancy, Cavendish Maxwell.
Hotels in the Upper Midscale category secured the highest occupancy rates at nearly 66%, while Midscale properties recorded rates of almost 64%. By contrast, Luxury and Upper Upscale hotels and resorts averaged 51% and 52% respectively, according to Cavendish Maxwell’s Dubai Hospitality Sector H1 2026 Market Performance report.
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