Emaar Retail Revenue Rises 10% to AED 5.2 Billion Despite Lower Hotel Occupancy
Key Facts
Emaar said revenue from its shopping mall, retail and commercial leasing operations reached AED 5.2 billion in the first nine months of 2026, up 10% year on year. In the same period, average occupancy across its retail portfolio was 98%, according to a report published by The National on November 5. The figures reflect mixed performance across the group’s businesses, with hotel occupancy rates falling from their year-earlier levels. The company said lower numbers of international visitors to the region affected its hospitality, leisure and entertainment portfolio. It added that local demand partly offset the impact.
In hospitality, average occupancy at Emaar hotels was 63% in the first nine months of 2026, compared with 80% in the same period a year earlier. The decline puts hotel performance on a different trajectory from the growth in retail and commercial leasing revenue during the period. The hospitality, leisure and entertainment portfolio also recorded revenue of about AED 2.4 billion in the first nine months of the year. Emaar linked the portfolio’s performance to lower numbers of international visitors to the region, while local demand partly supported results. The company did not provide a separate figure for the size of this local offset in its statement.
Emaar said project execution across the group’s businesses and revenue recognition from its existing sales backlog supported performance during the period. It also said the UAE’s diversified, open economy supported confidence in its key markets. This context helps explain the group’s performance over the nine months, alongside the impact of fewer international visitors on hospitality and leisure. Total group revenue was AED 37.5 billion in the nine months ended September 30, 2026, up 13% year on year, according to the company’s announcement. The period’s figures included growth in retail and commercial leasing revenue alongside a decline in hotel occupancy compared with the previous year.
Amid pressure on tourism-linked retail, a report published by Enterprise AM in September said sales at Mall of the Emirates fell by about 50% in March. The report cited Fitch as saying the loss of tourism affected visitor traffic at major malls. An official at GRMC Group said tourists typically account for 20–25% of sales at tourism-focused malls, despite making up 15–20% of visitor traffic. According to the same report, tourists’ usual contribution to sales fell from 20–25% to 5–10% during the disruption, as the revenue mix shifted toward residents. These figures provide context on the sensitivity of visitor-dependent locations, but they concern Mall of the Emirates and the month of March and do not measure visitor traffic at Emaar’s malls in November.
Emaar founder Mohamed Alabbar said in October that monthly property cancellations at the company had doubled to about 1,200 during regional tensions, then fallen to fewer than 600. He described the increase as temporary and said cancellations had returned to normal levels. He added that collections remained at 9% throughout the conflict and that customer confidence was reflected in collections continuing as before. These comments concern property cancellations and collections, not mall visitor numbers or hotel occupancy directly. Against the backdrop of regional tensions, an earlier report by The National said the war between Iran, the United States and Israel began on February 28, 2026.
Looking to the coming months, Fitch said it expected visitor traffic to recover in November as airlines from outside the region resumed flights. It said the return of those flights could support tourism and retail spending toward the end of the year. The forecast appeared in a September report and described an expected trajectory for visitor traffic, not an outcome already recorded for the period. The hotel occupancy and retail revenue figures cited here relate to the first nine months of 2026, while Fitch’s forecast concerns November and beyond.