Premier Inn Expands in UAE and Saudi Arabia Amid Gulf Slump
Premier Inn's Middle East business has recovered from war impact, with occupancy rising to 78% in July and revenue decline narrowing to 11%. Despite a down year forecast, the brand is accelerating expansion, including entering Saudi Arabia (Riyadh and Jeddah) and pursuing a ~AED2 billion leasehold deal with Equitativa, aiming for 8,000 keys within five years.
Impact and considerations
Premier Inn's expansion indicates resilience of mid-market hotels in the Gulf, offering business travelers more cost-effective accommodation options.
Key points
- Premier Inn's Middle East occupancy recovered to 78% in July, revenue decline narrowed to 11%.
- Mid-market hotels outperformed luxury on occupancy, but luxury retained pricing power.
- Brand accelerating expansion, entering Saudi Arabia and pursuing leasehold deal.
- Aiming for 8,000 keys within five years.
Sources and time
- Primary source
- Skift
- Other sources
- 0
- First source publication
- 13 Aug 2026, 00:06
- Page published
- 13 Aug 2026, 08:06
- Last updated
- 13 Aug 2026, 00:06
- Original links
- Skift Feed：Premier Inn’s UAE and Saudi Expansion Signals Where Gulf Hotel Demand Is Actually Holding Up (opens in a new tab)Primary source · en · Published 13 Aug 2026, 00:06