Global Asset Solutions Releases Middle East Crisis Management Series

Global Asset Solutions has released a series of articles drawing on its expertise to help hotels navigate disruption.

The playbook is designed to guide hotel owners, investors, operators and government stakeholders through the current period of geopolitical disruption impacting Middle East tourism.

The articles, which cover subjects from brand positioning to F&B and force majeure clauses, are available on the group’s website.

Adnan Shamim, managing partner, Middle East & Africa, Global Asset Solutions, said: “In periods of disruption, clarity becomes one of the most valuable resources an owner can possess.

“Our aim is to support owners in maintaining control, making disciplined decisions, and preserving the long-term strategic positioning of their assets.”

While the industry draws lessons from the COVID-19 crisis, the current disruption is fundamentally different. Unlike the global, health-driven demand shock of the pandemic, today’s crisis is geographically concentrated, security-driven and operationally uneven.

Some markets are experiencing severe occupancy declines, while others are benefiting from redirected demand. Airspace closures have disrupted critical flight corridors, regional supply chains have fractured and expatriate workforces face pressures that were not present during the pandemic.

Despite these differences, familiar challenges have re-emerged: reactive cost-cutting that risks long-term asset value, misalignment between owners and operators and uncertainty among institutional investors regarding hold, sell, or acquisition strategies.

Shamim added: “All of our work has been grounded in live asset management engagements. These are not theoretical frameworks; they are drawn from real assets, real owners, and real financial pressure. The response confirmed a clear need for rigorous, owner-centric guidance during times of crisis.”

According to Oxford Economics and Tourism Economics, the conflict is reducing Middle East tourism spending by approximately $600m per day. International visitor spending, previously projected at $207bn for 2026, is now expected to decline sharply.

Depending on the duration of the crisis, international arrivals could fall by 11% to 27%, equating to a loss of between 23 million and 38 million visitors. This translates into a projected revenue loss of $34bn to $56bn across the region.

Hotel performance metrics have deteriorated rapidly. Properties that typically operate at 75% to 85% occupancy are now reporting single-digit to low double-digit occupancy levels, with average daily rates under pressure as operators compete for diminished demand.

Shamim added: “These are not abstract figures. They represent empty rooms, idle operations, and real-time value erosion for ownership groups.”

The series is organised into four phases, mirroring the journey from crisis to recovery. Phase 1 (Articles 1 to 4) addresses immediate triage: financial stabilisation, contractual protection, operational consolidation, and talent retention. Phase 2 (Articles 5 to 7) tackles the CapEx and repositioning conundrum. Phase 3 (Articles 8 to 11) maps the future of travel, including shifts in source markets, post-conflict recovery dynamics, F&B strategy, and the ethics of revenue management during a crisis. Phase 4 (Articles 12 to 14) provides the institutional blueprint: value creation for PE funds, competitive landscape analysis, and the emerging role of hotel-branded residences as a resilient asset class.

The articles are available on the Global Assets Solutions website.