Research commissioned by RCI Middle East across the Gulf region comprising a cross section of nationalities covering Saudis, Kuwaitis, Emiratis, Iranians & Egyptians indicates that the value of this market for timeshare & fractional sales to be roughly US$ 1 Billion. Apart from familiar timeshare models, many novel products like religious timeshare are included in the findings. Other related examples include the now familiar Fractional ownership category represented by upmarket properties such as exclusive villas, apartments and yachts.

Commenting on the research, Vivienne Noyes-Thomas, Managing Director of RCI Middle East says: "The main purpose of the research is to quantify the potential pan-Arab market for luxury timeshare, fractional ownership and other types of shared ownership in leisure developments in the region. There are numerous superb projects in the planning stages, but now we can qualify what the consumer is really looking for and what this product can deliver in increased returns for developers and operators."

Interestingly, the above research also shed light on the holidaying habit of the Pan-Arab market. The study demonstrated that the entire sample - nearly 1,000 high earning nationals from Saudi Arabia, Kuwait, Iran, Egypt and the UAE - travels regularly and that holiday choices are largely based upon destinations that offer good family solutions and shopping rather than activity and adventure tourism. Food and fine dining is definitely high on the agenda for all respondents in the survey.

The research focused on four leisure travel options - family holidays, religious travel, big trips and festive travels - and family holidays was the clear leader. Since many families travel in larger groups, with extended family, friends and household staff, the larger, luxurious type of accommodation found within shared ownership developments, is well suited to their requirements, stated the report. Notably, 40 per cent of Saudi nationals take household staff away with them, and 46 per cent of UAE nationals take their parents.

Hilton Hotels Corporation recently reported financial results for the first quarter ended March 31, 2006. Hilton Grand Vacations Company (HGVC), the company's vacation ownership business, reported a 20% increase in profitability in the first quarter, due primarily to an 8% increase in average unit sales price. The company reported that sales volume remained strong at HGVC's properties in Las Vegas, Orlando and Hawaii. HGVC has begun development of new timeshare projects in Hawaii (both in Honolulu and on the Big Island) and Orlando. HGVC had first quarter revenue of $183 million, a 25% increase from $146 million in the 2005 quarter. Expenses were $134 million in the first quarter, compared with $105 million in the 2005 period.

May 18, 2006
Chennai