Serviced apartments offer the best of self-catered and catered accommodation. This type of accommodation includes aparthotels as well as catered apartments of various sizes. If you have been considering investing in a large unit such as a block of apartments, or even a single apartment within a complex, this option offers plenty of advantages and an excellent potential for return on your investment.
How exactly do serviced apartments work, and what else should you know about investing in this type of short term property? Join us today on the blog as we take a closer look at what this accommodation model has to offer investors.
Investing in Serviced Apartments
Apartments in general make up a large portion of the overall accommodation market. Due to their compact nature and their lock-up-and-go convenience, apartments are popular with a wide variety of travellers. Single travellers and couples seek out the secure, fuss-free apartment, while corporate travellers often seek apartments that are found within central, urban areas. In Cape Town, serviced apartments account for a fair portion of apartments. These include emerging aparthotels and multi-tenant complexes in and around the CBD, such as The Verge Aparthotel, The Bijoux Aparthotel, Harbouredge Suites, Triangle Luxury Suites and Rockwell Suites – all of which are fully managed by Totalstay.
Some of the most important things to consider when investing in serviced apartments includes the following:
- Aparthotels are a blend of hotel and apartment. As the name implies, this type of accommodation offers guests the luxury of a hotel, with the convenience of an apartment. This is one of the leading types of serviced apartment. Guests who typically stay at hotels are attracted to the combination of exclusive service and concierge, while still enjoying more flexibility than a traditional hotel. Globally, aparthotels and multi-tenant blocks are on the rise. Here in Cape Town, this trend is also continuing to grow.
- Management is key for this type of property. A fully managed complex provides guests with the highest level of excellence, with every unit offering a high degree of luxury. Additional services such as front desk, concierge, fitness centres, branded linens and towels, guide books and other personalised touches further adds to the experience for guests. As such, short term rental management is essential. A good manager will provide everything from marketing to day to day management, bookings and concierge.
- Positioning is also essential. Aparthotels and other complexes rely on a solid reputation to thrive. This is another reason to with with a short term rental manager to assist with branding, marketing and positioning. Knowing your key audience, and tailoring your marketing efforts to reach this audience is always a good way to ensure that your building gets the exposure it needs to succeed.
This accommodation type shows no sign of slowing down. If you would like to learn more about expert short term property management solutions from Totalstay, which include everything you need to get ahead in this business, contact us today. We will provide an evaluation, to help you determine the best course of action for positioning and actively managing your serviced apartments.