Research by W Hospitality Group has revealed the choice of planned new hotel rooms within the hotel development pipeline in Africa has increased by 16 per cent on last year, which was itself 12 per cent up on 2011.
This is predicated on a sample of 29 international hotel chains, with 59 brands between them, and analyses deals that they have got signed with owners.
As in previous years, the detail behind the headline shows a definite tale of 2 Africas.
In north Africa, the event pipeline grew by nine per cent, from 17,217 planned new hotel rooms in 2012 to 18,782 rooms in 77 hotels in 2013.
In sub-Saharan Africa, however, the chains’ pipeline now stands at 21,052 rooms in 130 hotels, up from 17,109 rooms in 100 hotels a year ago – a huge 23 per cent increase.
This compares to four per cent growth in Europe and eight.6 per cent growth in Asia Pacific, in keeping with data produced by STR Global (although the expansion in Africa is from a far lower base).
Trevor Ward, managing director of W Hospitality Group said: “The main reasons for the slower growth in North Africa include the outlet of hotels within the 2012 pipeline, particularly in Algeria, a discounted investment specialize in North Africa by way of political concerns and a better emphasis on development in sub-Saharan markets.
“There is a boom in Africa, in all sectors, including hotels.
“Economic growth in lots of countries is 6 per cent or higher and global investors are staring at the continent in a far more serious and complicated way.
“We are being contacted by more and more dedicated investment funds looking to enter the African hotel market.”
The five countries of North Africa all appear within the top ten countries for brand spanking new hotels, led by Egypt (7,644 planned new hotel rooms), Morocco (5,178) and Algeria (3,160).
In sub-Saharan Africa, Nigeria has by far the most important pipeline, with 7,470 planned new rooms.
The companies leading the style are Hilton Worldwide with 6,230 rooms in its African pipeline, Carlson Rezidor with 5,947, Accor with 5,165 and Marriott with 3,900.
Ward added: “The major international brands are still blazing the path, led by Hilton Worldwide, forging ahead with 6,230 planned new rooms for Hilton, Doubletree and Garden Inn brands, a unprecedented 84% increase on 2012.
“And this can be very encouraging to work out new brands entering the market, including Campanile, Dusit, easyHotel, Fairmont, Hyatt Place and W.
“This shows the arrogance of the hotel chains not only inside the continent conceptually, but additionally as somewhere where they could diversify their brand footprint.”