The hotel benchmark report provides a monthly performance overview of leading hotels in the Middle East. The hotel set includes international branded and operated properties across the 5 star and 4 star segment.

BenchmarkMiddle East Hotel Benchmark Survey Report October 2013

IntroductionEY Middle East Hotel Benchmark Survey

We hope you enjoy the October 2013 report of the EY 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 Middle East Hotel Benchmark Survey is part of our services to the hospitality sector.

EY 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.

EY is the largest professional services firm in Middle East with 18 offices in 13 countries and part of the global EY network with over 167,000 people in 140 countries.

Sincerely

Yousef Wahbah Partner and Head of MENA Transaction Real Estate

Page 3:October 2013 key performance highlights.

Page 4:We have highlighted the largest variance on a per month basis for the various markets over the last twelve month period in regards to occupancy, average room rate, and Rooms yield.

Page 5:Dubai overall occupancy, average room rate and Rooms yield over the past twelve months.

Page 6:Monthly performance of various markets compared to the previous year’s monthly period in local currency.

Page 7:Monthly performance of various markets compared to the previous year’s monthly period in US dollar currency.

Page 8:Year-to-Date performance of various markets compared to previous year period in local currency.

Page 9:Year-to-Date performance of various markets compared to previous year period in US dollar currency.

October 2013 Key Performance Highlights

The hospitality market in Egypt continues to under perform into the final quarter of the year due to the continued political unrest in the country• In October 2013, the overall hospitality market in Egypt has seen sharp declines in RevPAR. Cairo city’s RevPAR decreased by 71.8%

in October 2013 compared to the same period last year. Average occupancy in the city dropped from 47% in October 2012 to 16% in October 2013, coupled by a decrease in ADR of 18.8% during the same period.

• Hurghada and Sharm El Shaikh hospitality market has recorded a drop in RevPAR of approximately 51.0% and 43.3% respectively, mainly due to a significant slowdown in visitors. Occupancy in Hurghada has declined from 81% in October 2012 to 45% in October 2013 and Sharm El Shaikh’s occupancy dived by approximately 27% during the same period.

• It should be noted, Hurghada has recorded an increase in RevPAR of 7.2% year to date when compared to the same period last year.

Kuwait and Saudi Arabia’s hospitality markets have registered a decline in RevPAR in October 2013 compared to October 2012• In October 2013, Kuwait’s RevPAR decreased by 44.1% as compared to October 2012 figures, this was mainly due to low occupancy

rates in October 2013 which averaged 44% compared to 64% in October 2012, coupled by a drop in ADR from US$362 to US$289 during the same period.

• Based on our research, approximately 753 new room (mix of 5 and 4 star hotels) have come online in Q2 and Q3 of 2013, due to the supply increased of high end hotel rooms, average occupancy and ADR has dropped compared to the previous year.

• Saudi Arabia witness a slight decline in RevPAR in October 2013, with the holy city of Makkah registering the biggest drop of 25.8% as compared to the same period last year. This was due to the fact that the Kingdom has declared 7 September 2013 as the first day Pilgrims can arrive in the country and Eid Al Adha being celebrated on 15 October 2013. While in 2012, Pilgrims first day of arrival was 27 September 2012 with Eid Al Adha being celebrated on 25 October 2012.

UAE’s hospitality market witness positive RevPAR growth in October 2013• Dubai’s overall average occupancy decreased by approximately 3.2% in October 2013 compared to October 2012, however,

ADR increased by 7.0%, resulting in a healthy increase in RevPAR of approximately 3.1%.

• In October 2013, Dubai’s hospitality market performance improved month over month, with ADR increasing from US$221 in September 2013 to US$330 in October 2013, which was also coupled with an increase in average occupancy of 8% during the same period.

• Abu Dhabi witnessed an increase in ADR in October 2013, from US$229 to US$248 year on year, resulting in RevPAR growth of 10.7% during the same period.

• Al Ain recorded a healthy increase in RevPAR of 33.8% in October 2013, due to an increase in average occupancy of 6.0% when compared to the same period last year, which was coupled with a jump in ADR from US$146 in October 2012 to US$181 in October 2013.

% Occupancy for Hurghada Hotels

Average Room Rate for Kuwait (US$)

Rev PAR in Cairo City (US$)

Markets with the largest variance on a per month basis

Occ

upan

cy %

Occupancy % October 2012–October 2013

Months

8188

62 6359

71

86

7471 72

58

36

45

0

10

20

30

40

50

60

70

80

90

100

Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct

Ave

rage

room

rate

Average room rateOctober 2012–October 2013

Months

362

266251

303313

277

310

278

313

255

309285 289

0

50

100

150

200

250

300

350

400

Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct

Roo

m y

ield

Room yieldOctober 2012–October 2013

Months

46

42

2729

1820

24

2932

11 11 1013

0

5

10

15

20

25

30

35

40

45

50

Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct

Dubai overall monthly performance% Occupancy for Dubai — Overall Hotels

Average room rate for Dubai — Overall hotels (US$)

Rev PAR in Dubai — Overall hotels (US$)

Months

Ave

rage

room

rat

e

Average room rate October 2012–October 2013

302 309285

313298

328313

243

192179

213221

330

0

50

100

150

200

250

300

350

Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct

Roo

m Y

ield

Room yieldOctober 2012–October 2013

Months

261281

238

282267

295

269

202

152

91

149165

274

0

50

100

150

200

250

300

350

Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct

Occ

upan

cy %

Occupancy %October 2012–October 2013

Months

8791

8490 90 90

8683

79

51

7075

83

0

10

20

30

40

50

60

70

80

90

100

Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct

Occupancy Average room rate Rooms yield

Currency 2013% 2012%Change in % points

2013 2012 Change 2013 2012 Change

Bahrain

Manama BHD 46.0 41.0 5.0 75 76 -0.6% 35 32 10.4%

Egypt

Cairo — City EGP 16.0 47.0 -31.0 453 557 -18.8% 74 264 -71.8%

Cairo — Overall EGP 18.3 48.4 -30.2 474 552 -14.1% 87 267 -67.6%

Hurghada EGP 45.0 81.0 -36.0 233 263 -11.2% 105 215 -51.0%

Sharm El Shaikh EGP 57.0 84.0 -27.0 286 343 -16.6% 165 291 -43.3%

Jordan

Amman JOD 63.0 69.0 -6.0 108 105 2.9% 69 73 -6.0%

Kuwait

Kuwait KWD 44.0 64.0 -20.0 84 105 -20.1% 38 68 -44.1%

Lebanon

Beirut LBP 48.0 39.0 9.0 265,218 280,146 -5.3% 128,089 111,569 14.8%

Oman

Muscat OMR 73.0 69.0 4.0 84 86 -2.1% 62 60 3.2%

Qatar

Doha QAR 66.0 70.0 -4.0 925 957 -3.3% 617 677 -8.9%

Saudi Arabia

Jeddah SAR 78.0 77.0 1.0 1,009 1,031 -2.1% 792 796 -0.5%

Madina SAR 71.0 76.0 -5.0 1,562 1,599 -2.3% 1,116 1,231 -9.3%

Makkah SAR 69.0 85.0 -16.0 1,961 2,141 -8.4% 1,364 1,839 -25.8%

Riyadh SAR 50.0 48.0 2.0 785 837 -6.2% 397 407 -2.3%

United Arab Emirates

Abu Dhabi AED 81.0 79.0 2.0 910 841 8.2% 743 671 10.7%

Al Ain AED 75.0 69.0 6.0 665 538 23.7% 502 375 33.8%

Dubai — Beach AED 78.0 86.0 -8.0 1,771 1,546 14.6% 1,393 1,341 3.9%

Dubai — City AED 86.0 85.0 1.0 872 858 1.7% 753 736 2.3%

Dubai — Overall AED 83.2 86.4 -3.2 1,211 1,131 7.0% 1,007 977 3.1%

EY Middle East Hotel Benchmark Survey

Monthly performance: 10/2013 Currency: Local

Various markets monthly performance (Local currency)

NotesFigures 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 Middle East Hotel Benchmark Survey was developed and is maintained by EY’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, EY 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 EY and no part of this report, in whole or in part, may be reproduced or transmitted without written consent of EY. 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 EY at + 971 4 332 4000.

Occupancy Average room rate Rooms yield

Currency 2013% 2012%Change in % points

2013 2012 Change 2013 2012 Change

Bahrain

Manama US$ 46.0 41.0 5.0 200 202 -0.6% 93 85 10.4%

Egypt

Cairo — City US$ 16.0 47.0 -31.0 78 97 -18.8% 13 46 -71.8%

Cairo — Overall US$ 18.3 48.4 -30.2 82 96 -14.1% 15 46 -67.6%

Hurghada US$ 45.0 81.0 -36.0 40 46 -11.2% 18 37 -51.0%

Sharm El Shaikh US$ 57.0 84.0 -27.0 50 60 -16.6% 29 50 -43.3%

Jordan

Amman US$ 63.0 69.0 -6.0 154 150 2.9% 98 104 -6.0%

Kuwait

Kuwait US$ 44.0 64.0 -20.0 289 362 -20.1% 129 232 -44.1%

Lebanon

Beirut US$ 48.0 39.0 9.0 175 185 -5.3% 85 74 14.8%

Oman

Muscat US$ 73.0 69.0 4.0 218 223 -2.1% 160 155 3.2%

Qatar

Doha US$ 66.0 70.0 -4.0 254 263 -3.3% 170 186 -8.9%

Saudi Arabia

Jeddah US$ 78.0 77.0 1.0 269 275 -2.1% 211 212 -0.5%

Madina US$ 71.0 76.0 -5.0 417 426 -2.3% 298 328 -9.3%

Makkah US$ 69.0 85.0 -16.0 523 571 -8.4% 364 490 -25.8%

Riyadh US$ 50.0 48.0 2.0 209 223 -6.2% 106 108 -2.3%

United Arab Emirates

Abu Dhabi US$ 81.0 79.0 2.0 248 229 8.2% 202 183 10.7%

Al Ain US$ 75.0 69.0 6.0 181 146 23.7% 137 102 33.8%

Dubai — Beach US$ 78.0 86.0 -8.0 482 421 14.6% 379 365 3.9%

Dubai — City US$ 86.0 85.0 1.0 238 234 1.7% 205 200 2.3%

Dubai — Overall US$ 83.2 86.4 -3.2 330 308 7.0% 274 266 3.1%

EY Middle East Hotel Benchmark Survey

Monthly performance: 10/2013 Currency: US$

Various markets monthly performance (US dollar)

NotesFigures 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 Middle East Hotel Benchmark Survey was developed and is maintained by EY’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, EY 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 EY and no part of this report, in whole or in part, may be reproduced or transmitted without written consent of EY. 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 EY at + 971 4 332 4000.

Occupancy Average room rate Rooms yield

Currency 2013% 2012%Change in % points

2013 2012 Change 2013 2012 Change

Bahrain

Manama BHD 42.0 37.0 5.0 78 79 -1.3% 33 29 12.2%

Egypt

Cairo — City EGP 22.0 38.0 -16.0 496 490 1.2% 114 188 -39.4%

Cairo — Overall EGP 24.0 40.0 -16.0 505 488 3.6% 124 196 -36.5%

Hurghada EGP 63.0 72.0 -9.0 220 180 22.1% 141 131 7.2%

Sharm El Shaikh EGP 65.0 75.0 -10.0 308 263 16.9% 201 198 1.7%

Jordan

Amman JOD 61.0 72.0 -11.0 110 106 3.5% 68 77 -11.2%

Kuwait

Kuwait KWD 57.0 53.0 4.0 86 87 -1.7% 49 47 4.8%

Lebanon

Beirut LBP 51.0 56.0 -5.0 254,323 309,608 -17.9% 131,301 174,857 -24.9%

Oman

Muscat OMR 66.0 66.0 0.0 81 78 3.1% 53 52 2.9%

Qatar

Doha QAR 64.0 65.0 -1.0 919 941 -2.3% 596 612 -2.6%

Saudi Arabia

Jeddah SAR 79.0 80.0 -1.0 1,040 935 11.2% 832 755 10.1%

Madina SAR 66.0 69.0 -3.0 908 900 0.9% 604 630 -4.1%

Makkah SAR 72.0 80.0 -8.0 1,195 1,179 1.4% 865 948 -8.7%

Riyadh SAR 58.0 56.0 2.0 824 846 -2.5% 484 478 1.4%

United Arab Emirates

Abu Dhabi AED 76.0 74.0 2.0 744 691 7.8% 566 518 9.3%

Al Ain AED 71.0 63.0 8.0 517 503 2.8% 372 319 16.6%

Dubai — Beach AED 77.0 77.0 0.0 1,342 1,245 7.8% 1,037 969 7.0%

Dubai — City AED 80.0 80.0 0.0 781 735 6.3% 633 591 7.1%

Dubai — Overall AED 79.0 79.0 0.0 990 927 6.8% 788 736 7.0%

EY Middle East Hotel Benchmark Survey

Year over Year performance (January–October) Currency: Local

Various markets Year-to-Date performance (Local currency)

NotesFigures 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 Middle East Hotel Benchmark Survey was developed and is maintained by EY’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, EY 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 EY and no part of this report, in whole or in part, may be reproduced or transmitted without written consent of EY. 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 EY at + 971 4 332 4000.

Occupancy Average room rate Rooms yield

Currency 2013% 2012%Change in % points

2013 2012 Change 2013 2012 Change

Bahrain

Manama US$ 42.0 37.0 5.0 206 209 -1.3% 87 77 12.2%

Egypt

Cairo — City US$ 22.0 38.0 -16.0 86 85 1.2% 20 33 -39.4%

Cairo — Overall US$ 24.0 40.0 -16.0 88 85 3.6% 22 34 -36.5%

Hurghada US$ 63.0 72.0 -9.0 38 31 22.1% 24 23 7.2%

Sharm El Shaikh US$ 65.0 75.0 -10.0 53 46 16.9% 35 34 1.7%

Jordan

Amman US$ 61.0 72.0 -11.0 156 151 3.5% 97 109 -11.2%

Kuwait

Kuwait US$ 57.0 53.0 4.0 294 299 -1.7% 168 161 4.8%

Lebanon

Beirut US$ 51.0 56.0 -5.0 168 204 -17.9% 87 115 -24.9%

Oman

Muscat US$ 66.0 66.0 0.0 209 203 3.1% 138 134 2.9%

Qatar

Doha US$ 64.0 65.0 -1.0 253 259 -2.3% 164 168 -2.6%

Saudi Arabia

Jeddah US$ 79.0 80.0 -1.0 277 249 11.2% 222 201 10.1%

Madina US$ 66.0 69.0 -3.0 242 240 0.9% 161 168 -4.1%

Makkah US$ 72.0 80.0 -8.0 319 314 1.4% 231 253 -8.7%

Riyadh US$ 58.0 56.0 2.0 220 225 -2.5% 129 127 1.4%

United Arab Emirates

Abu Dhabi US$ 76.0 74.0 2.0 203 188 7.8% 154 141 9.3%

Al Ain US$ 71.0 63.0 8.0 141 137 2.8% 101 87 16.6%

Dubai — Beach US$ 77.0 77.0 0.0 366 339 7.8% 282 264 7.0%

Dubai — City US$ 80.0 80.0 0.0 213 200 6.3% 172 161 7.1%

Dubai — Overall US$ 79.0 79.0 0.0 270 252 6.8% 215 201 7.0%

EY Middle East Hotel Benchmark Survey

Year over Year performance (January–October) Currency: US$

Various markets Year-to-Date performance (US dollar)

NotesFigures 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 Middle East Hotel Benchmark Survey was developed and is maintained by EY’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, EY 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 EY and no part of this report, in whole or in part, may be reproduced or transmitted without written consent of EY. 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 EY at + 971 4 332 4000.

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