As Abu Dhabi F1 Grand Prix nears, hotel rates surge to Dh172,487

Dubai: Formula 1 fans are set to travel to Abu Dhabi in December for the season finale. With Lando Norris leading the drivers’ standings and Oscar Piastri close behind, analysts expect a tight title fight and a finish that could draw one of the largest race-week crowds of recent years.

The hospitality sector in both Abu Dhabi and Dubai is preparing for one of its busiest weeks of the year. Occupancy is already above 80% across both cities, according to market data. Yas Island hotels typically sell out during race week, and this year’s event coincides with golf tournaments, the Dubai 7s and several concerts, adding further pressure on supply.

Hotel pricing between December 3 and 8 shows the sharpest spikes on and around Yas Island. Listings from Booking.com and Agoda show Yas Island hotels starting at Dh19,000 and climbing to Dh32,000 for the period, while apartments and holiday homes range from Dh16,000 to as high as Dh48,000. The Ambassador Suite at Hilton Abu Dhabi Yas Island is listed at Dh172,487 before taxes, placing it among the costliest race-week stays.

Zacky Sajjad, Director of Business Development and Client Relations at Cavendish Maxwell, said the areas closest to the circuit are absorbing the strongest increases. He said, “The biggest spikes are on Yas Island, trackside and walking distance hotels, with strong increases in nearby clusters including those on Saadiyat Island. Mainland hotels, business district and airport hotels will present the best value within a 15 to 45 minute radius of the F1 track.”

Beyond Yas Island, five-star hotels across Abu Dhabi show wide variations. Jumeirah Saadiyat Island is listed at about Dh87,100 before taxes. Conrad Abu Dhabi Etihad Towers stands at Dh65,375, while Bab Al Qasr is at Dh14,200. The WB Abu Dhabi is listed at Dh18,180 before charges. Four-star options range from Dh6,930 at City Seasons Al Hamra to Dh17,000 at Mercure Abu Dhabi Downtown. Three-star stays fall between Dh4,000 and Dh10,000, with Premier Inn Capital Centre at Dh9,192. Serviced apartments in Abu Dhabi range from Dh800 to Dh1,700 per night.

Dubai is trending more moderately. Sajjad said, “Hotel rates for the December F1 weekend are trending strongly upwards in both Dubai and Abu Dhabi but noticeably more for the hotels closest to the circuit. Some ultra luxury stays are priced in the tens of thousands of US dollars for a few nights in the most prime locations. For Dubai the uplift is more moderate, offering a reasonable alternative especially for bookings with multiple rooms.”

Five-star Dubai hotels are listed between Dh400 and Dh900 per night. Serviced apartments range from Dh200 to Dh500, and three-star hotels from Dh200 to Dh1,000. For the full-stay period, Dubai hotels fall between Dh4,000 and Dh10,000.

Sajjad said the increases at the top end are substantial. He said, “For corporate or group stays at the top tier hotels in Abu Dhabi during the F1 weekend prices may be up to 3 times the regular winter weekend rate for a comparable product. For Dubai hotels it could be up to 60% higher versus a standard winter weekend rate.”

Travellers planning to stay in Dubai and commute will still face elevated December prices, as the month is historically the most expensive for the city’s hotels. However, Dubai’s wider supply gives more flexibility.

Early booking remains the strongest cost-saving strategy. Sajjad said, “The simple answer is the earlier the better, the later the booking usually the higher the cost, especially in terms of the F1 weekend itself.” He noted that rates rise sharply after the end of Q3. Corporate block bookings made in Q1 or early Q2 can be up to 40% cheaper than those secured in September.

Short-term rentals and serviced apartments can help, but Sajjad cautioned that these too carry December premiums. Holiday homes in both cities peak during the event period, meaning alternatives do not always translate into bargains.

Sajjad said travellers looking for value without losing access to Yas Island should focus on mainland Abu Dhabi, the central business district or the airport area. Dubai is also a practical base for those willing to commute. Other cost-saving tactics include serviced apartments, split stays and early reservations.

Some hotels are offering packages that bundle accommodation with race access or transfers. Sajjad said these packages can justify higher nightly rates by adding value typically sought by international visitors.

Demand is being driven by more than Formula 1. Sajjad cited strong seasonal tourism, a busy MICE calendar, large corporate events and additional sporting tournaments. Improved air connectivity and early festive travel add further pressure, while supply growth has remained moderate.