Serviced Apartment Sector Booms In Europe
More than 20,000 serviced apartment units are in the pipeline in Europe over the next five years, according to a survey of leading serviced apartment operators undertaken by HVS, a consultancy.
According to the survey, the sector saw impressive growth in 2017 with increases in RevPAR (revenue per available room) in London, the UK and across the rest of Europe. Some operators surveyed say they are now considering expansion into Austria and Poland.
The survey, published in the report “The Serviced Apartment Sector in Europe: Alive and Kicking,” reveals a growing similarity to the hotel sector with the use of hotel-inspired structures and operating models. Magalí Castells, associate, HVS London, co-author of the report, said there are more management and franchise agreements in serviced apartments, similar to the hotel industry, because those two models offer operators more flexibility and the ability to expand quickly with less risk.
by Dan Booth
