Mohammed Al Habtoor, Vice Chairman and CEO of Al Habtoor Group, clarifies the misquote in the report published in Al Bayan Newspaper and discusses the returns of the hospitality sector in Dubai.
Al Habtoor stated: “With reference to the report in today’s Al Bayan quoting me on the yield on investment in the hospitality sector in Dubai, I would like to clarify that I was referring to EBITDA excluding the payback on the value of the land. Therefore the net return on investment in the hospitality sector is much lower than the report suggests, and does not exceed 7% at best."
He added: "We thank God for the continued growth of Dubai's economy in general and the tourism sector in particular. However we should be careful concerning the information and image we seek to convey to tourists and investors. We have always encouraged foreign investors to Dubai and the UAE because we offer state-of-the art infrastructure, growth opportunities and flexibility, in addition to the stability at the security level, and a smooth and speedy licensing process. We must be careful not to be misleading to the public and other investors.”