Sharjah hotels draw 2.1 million guests as airport traffic fuels tourism boom

Cavendish Maxwell says hotel revenues hit Dh780 millon while occupancy reached 78%

Last updated:
Nivetha Dayanand, Assistant Business Editor
A photograph shows the Al-Nooor Mosque (L) and the city skyline in Sharjah in the United Arab Emirates on May 21, 2026.
A photograph shows the Al-Nooor Mosque (L) and the city skyline in Sharjah in the United Arab Emirates on May 21, 2026.
AFP

Dubai: Sharjah’s hotels welcomed 2.1 million guests in 2025, a 22% increase on the previous year, as stronger airport traffic and new travel links helped drive demand across the emirate’s hospitality sector, according to Cavendish Maxwell.

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Annual hotel revenues rose 20% to Dh780 million, while occupancy reached 78%. The average daily rate stood at Dh305, with guests staying for an average of two nights.

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Airport growth lifts hotel demand

Cavendish Maxwell said the rise in hotel guests was supported by a 14% increase in passenger traffic at Sharjah International Airport, which handled 19.5 million travellers in 2025.

The airport is targeting 20 million annual passengers by 2027, while a Dh4.2 billion expansion is already under way. Sharjah also added eight new routes and four new airlines last year, improving access to the emirate and widening its visitor base.

“Sharjah currently has 10,700 keys across 102 hotels, most of which are in the mid-tier sector, reflecting the emirate’s positioning as a mid-market tourism and business travel destination," said Ali Siddiqui, Research Manager at Cavendish Maxwell. "However, upcoming hotel supply is increasingly focusing on higher-end segments. Three luxury and upscale hotels with a total of 476 keys are planned between now and 2030, indicating a shift towards – and confidence in – more premium accommodation.

“Meanwhile, major infrastructure investment and expansion are further boosting tourism inflows and hospitality demand in Sharjah. An Dh4.2 billion expansion is under way at Sharjah International Airport, where 8 new routes and 4 new airlines were introduced last year. In addition, the Dh40 billion, 1,200km Etihad Rail network connecting Sharjah with key emirates, is set to unlock more hospitality sector growth,” he added.

Shift toward higher-end hotels

Sharjah’s hotel market is still led by mid-tier accommodation, but Cavendish Maxwell said upcoming supply points to growing confidence in the higher-end segment.

Three luxury and upscale hotels are planned by 2030, adding 476 keys to the market. That would broaden Sharjah’s hospitality offering beyond its established base of mid-market tourism and business travel, while helping the emirate compete for visitors seeking more premium stays.

The shift also comes as infrastructure projects improve access to Sharjah. The Etihad Rail network, valued at Dh40 billion and spanning 1,200 kilometres, is expected to strengthen links between Sharjah and other emirates, creating further support for tourism and hospitality demand.

Property market hits record

Sharjah’s hospitality growth is also playing out alongside a stronger property market.

Cavendish Maxwell said real estate transactions in the emirate reached a record Dh65.6 billion in 2025, up 64% from the previous year. The momentum continued into 2026, with first-quarter transaction values rising 41% year on year to Dh18.5 billion.

Nearly 9,980 properties were sold in Sharjah between January and March 2026, a 23% increase on the same period last year.

Cavendish Maxwell said real estate sales data takes several weeks to appear in official statistics, meaning the first-quarter figures include transactions signed both before and after the conflict began. The second-quarter numbers, expected in the coming months, will give a clearer view of market direction.

Nivetha Dayanand
Nivetha DayanandAssistant Business Editor
Nivetha Dayanand is Assistant Business Editor at Gulf News, covering aviation, financial markets and commodities. A business and financial journalist with a strong interest in multimedia storytelling, she regularly takes complex financial and economic subjects beyond the written word, producing explainer videos that make them easier for a wider audience to understand. Nivetha has interviewed senior policymakers, business leaders and global financial figures both on and off camera. Her past guests include UAE Minister of Economy and Tourism Abdulla bin Touq Al Marri, Khaled bin Alwaleed Al Saud, a member of the House of Saud and the founder and CEO of KBW Ventures, Jihad Azour, Director of the Middle East and Central Asia Department at the International Monetary Fund and Indian ministers Hardeep Singh Puri and N. Chandrababu Naidu. She has also hosted and moderated panels, conferences and awards shows, bringing her newsroom experience to live conversations on business, finance and the economy. An Erasmus Mundus journalism alum, Nivetha is drawn to stories that affect people directly and to reporting that gives a platform to voices that might otherwise go unheard. She was among the first journalists to speak to Petrofac employees in the UAE about unpaid salaries, broke the news of the planned demolition of Dubai’s well-known “Toyota Building”, and helped set the record straight on widely circulated claims that a giant replica of the Moon was coming to Dubai. More recently, her exclusive interview with EDGE Group CEO Hamad Al Marar revealed how the UAE-based defence group deployed its systems along the country’s shore border and established a geofence around the UAE within 48 hours of the February 28 escalation. Prior to joining Gulf News, Nivetha worked at ITP Media, where she helped launch Finance Middle East, a new publication covering the region’s financial sector. Her role spanned reporting and editing, video production, interviews and events. Across print, digital, and video, she focuses on finding the people behind business stories and explaining why those stories matter to the audience reading or watching them.
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