Apartments bridge the corporate accommodation gap
One of the most noticeable trends in the executive accommodation market is the size of the gap that's appearing between purpose-built corporate accommodation, and short stay hotel accommodation – and who steps up to fill it.
The reasons for this gap appearing are to do with long-term trends in attitudes towards relocation. Employees, especially those with families, are less willing to relocate for two or three years at a time. Six to nine month assignments are becoming the norm. Meanwhile, companies are determined to take better care of their workers on deployments away from home.
These shifts mean that accommodation models are changing in significant ways.
The growth of extended-stay accommodation
Hotels are an established short-stay solution, although they are geared for stays measured in days; the model does not have the inherent flexibility to provide a relocation solution that preserves the individual's lifestyle. Permanent accommodation requires a time and cost commitment that many short term workers and their employers are decreasingly likely to accept.
In the US and in southeast Asia, this gap between hotels and corporate housing has been bridged by serviced accommodation for some time. This is not so much the case in Europe and the Middle East, where serviced apartments are now enjoying a sustained rise in popularity.
Why the rise, and why now? Executives are increasingly lifestyle-oriented as well as career oriented, and companies are recognising that happiness and work-life balance are as important to employee retention (and, indeed, productivity) as traditional motivations such as money and status.
Serviced apartments address all these concerns. They provide the benefits of increased personal space – not only literal square-footage but also the sense of owning the space when the resident has his or her own key and can make themselves at home. Then there is the freedom: the opportunity to set your own schedule, make your own mealtimes and enjoy the autonomy of your own kitchen. Of course, these values are important to all residents but particularly those with families, who can make use of two- or three-bedroomed apartments.
Naturally, serviced apartment providers are in tune with the needs of those booking corporate accommodation. Costs are typically lower than equivalent hotels and the geographical coverage is rapidly reaching equivalent levels.
How to book
If you would like to discuss a particular serviced accommodation requirement with the SACO team, please contact Clare Ace on +44 117 970 6999.
