Over 5,000 New Hotel Rooms Expected in Dublin by 2020: Fáilte Ireland
Fáilte Ireland has published its 'Analysis of Visitor Accommodation in Dublin 2015-20' report regarding the future pipeline of Dublin hotel accommodation.
Carried out by Fitzpatrick Associates, the report indicates that 5,382 rooms are due to come on-stream between now and 2020, with the current supply side pressures due to ease significantly by 2019.
The report presents the most up-to-date projections of additional hotel capacity anticipated to come on-stream in Dublin up to 2020 and breaks the anticipated new rooms as 3,444 (64%) accounted for in new hotels, with a further 1,938 (36%) in existing hotel extensions. Most of the new rooms will be located in Dublin 1, 2 and 4.
Commenting on the report's findings, Fáilte Ireland head of research, Caeman Wall, stated, "Despite the over 50% growth in tourist arrival into Dublin and significant growth in corporate travel since 2010, the stock of tourist accommodation is largely unchanged to date. With further visitor growth anticipated and the importance of Dublin as a gateway to the rest of Ireland, Dublin’s shortage of tourism accommodation is one of the biggest challenges facing the continuing growth of Irish tourism."
Caeman added: "The hotel rooms identified that are due to come on-stream in today’s report represent private sector investment worth €800 million or more, based on current market valuations, and are very welcome. We need to do whatever we can to help ensure the current pipeline of development is delivered in full as quickly as possible. This extra capacity will not only increase availability but also significantly help moderate price increases.
"The research is saying that supply will improve by 2019. However, we face ongoing pressures until they arrive and it is critical that the hotel industry keep a watchful eye on competitiveness. If we damage our overall value for money perception with international visitors and buyers, we will create a problem that will take a long time to fix."