An essential difference between the standard serviced corporate housing industry and the “by owner” segment is the size of property that is rented – and more specifically, the number of bedrooms.
Properties rented by private owners are generally larger in both overall size and bedroom count than the typical, business-to-business lodging options that full-service, corporate housing companies provide.
As you can see below, 29.2% of private owners say they offer rental properties that include three bedrooms or more (approximately the same amount as over the last few years). 12.3% say they offer rental properties with four bedrooms or more. These types of lodging options are virtually non-existent among the full-service corporate housing companies.
We believe the “by owner” corporate housing segment will continue to grow to meet the demands of renters who want larger rental properties that are not typically offered by traditional corporate housing businesses.
- Property Size / Number of Bedrooms. The highest percentage of “by owner” rentals continues to be two-bedrooms (38%). In addition, 29% of respondents say their rental properties have three bedrooms or more. In contrast, in the full-service, corporate housing industry, the majority of rentals are one-bedrooms. The availability of additional bedrooms makes the “by owner” corporate housing segment an attractive option to renters.
- Property Type. Whereas the majority of corporate rentals in the full-service corporate housing industry are apartments, only 12% of “by owner” rental properties are apartments, according to survey results. Single-family homes make up the largest percentage of “by owner” properties (28%) accounted for in this survey, followed closely by low-rise condominiums (24%).
- Property Locations. The highest numbers of private corporate rentals are in suburban areas on residential streets (42%), followed by central urban areas (28%) and outer urban areas (23%).
- What’s Included in Your Rental. While most private owners offer tenants a fully stocked kitchen (91%), TV (88%), bed linens (88%), towels (85%) and electricity (84%), there is much greater variation – and opportunity for competitive advantage – in the technology, maid services and perks that are available in each rental property.
Visit Kimberly’s website here and see the whole survey and report.
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