Qatar’s hospitality and real estate sectors have added new projects in the first six months of the current year, demonstrating resilience despite the exceptional situation created by the COVID-19 pandemic.

Between January to June, hotels and hotel apartments added close to 1,000 rooms while, the real estate sector saw the completion of around 3,000 residential apartments and villas, according to a report by real estate consultancy firm ValuStrat.

“As per ValuStrat research, 988 keys were added during the first half of 2020 with the opening of Pullman Hotel in West Bay, Imperium Residences in Najma, Dusit D2 Salwa Doha in Muraikh and Al Liwan Suites in Rawdat Al Khail and Diyafa Hotel Suites in Al Sadd,” Pawel Banach, General Manager, ValuStrat Qatar told The Peninsula.

In the residential real estate sector, the total residential supply totalled 300,550 units, at the end of the first of half of 2020. “The first six months of 2020 saw the completion of 2,250 apartments and 700 villas scheduled to be handed over this year,” Banach added.  

Proactive government policies have played a crucial role in helping Qatar’s hospitality and real estate market. In addition to implementing efficient health strategies, the government had announced an economic stimulus package of QR75bn to support and provide relief to those impacted the most by the effects of coronavirus pandemic. Companies have gone ahead with their projects in spite of difficulties that emerged due to coronavirus pandemic outbreak. 

The number of residential units expected to be added in the second half of this year is likely to exceed the total number of units delivered in the first half of 2020. The half-yearly report by ValuStrat expects that approximately, 7,250 units are projected to be added during the remaining quarters of 2020.

“The median transacted ticket size for residential houses during Q2 (second quarter) 2020 was QR2.5m, no change compared to Q1(first half) 2020,” said the report. However, the volume and value of transactions in June 2020 were higher compared to June 2019. Developers reported no significant delays in construction schedules of under development residential projects.

As per the Qatar National Tourism Council (QNTC), the total stock by end of 2019 was 27,261 keys (130 hotels and hotel apartments) of which 24,562 keys are hotel rooms and 2,699 are hotel apartments.

The five-star segment is the largest in size and encompassed 12,900 rooms across 49 properties at the end of 2019.  The office real estate sector, the supply of office space was 5 million square metre Gross Leasable Area (GLA) at end of the first half of 2020. There was an addition of seven office buildings and four mixed-use buildings during first half of 2020 in Lusail (Marina and Energy City), Najma, Fereej Bin Omran, Abu Hamour, Al Wakrah, Al Wukair and Umm Salal comprising 220,000 sq m GLA.

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