FEATURE SERVICED APARTMENTS
“Our vision is to put serviced apartments into the heart of hospitality so that it is no longer a niche product in either the corporate or consumer world”
➔
independent providers,” says The Ascott's Rebecca Hollants Van Loocke. “In a sector that has no standardised
ratings system, brands allow for guests to know what they should expect when they go to a property in terms of standards, level of service and security.“ Jo Layton sees a changing brand landscape, with best-in-class UK and European non-hotel brands starting to emerge. “Go Native have grown to be one of the dominant London providers and are joining the ranks of the more established ‘global’ brands of Ascott and Frasers who command market share in their respective markets.” “I welcome the development of brands
that focus on the guest experience, the physical product and providing the best services – there is room for everyone in this space,” she says.
Room for growth Operators agree the outlook for the sector is bright, thanks in part to low inflation, rising volumes of inbound travellers, growing adoption for transient travel and buoyant relocation business. The sector is seeing huge competition
and a big influx of supply, especially in London, where 650 new units were launched last year alone. SACO’s Ben Harper believes there is a
Pictured Above: Grosvenor House Apartments; Right: IHG's Staybridge Suites
big opportunity for a strong serviced apartment brand. “The market is becoming interesting as an asset class to the property investment community, so we will see more investment. Although what that investment looks like, we don’t
THE BUSINESS TRAVEL MAGAZINE 79 67
know. It could be more new operators or consolidation of existing operators.” He continues, “The biggest challenge is supply, the answer to which is significant funding. More of that will come because market leaders are emerging and are dominating. New operators with less than 100 units will find it hard.” ASAP chairman Don James sees serviced accommodation in the middle of a sustainable upward curve. He predicts that consolidation in the sector could be as far as ten years off, and that even then there will still be a need for a residential home-from-home type experience. Legislation is a more immediate challenge. “There is still too much ambiguity,” says James. “It is unclear whether operators are fully compliant so there’s a shakeout required in understanding what the legislation is.” Charlie McCrow would like to see
greater international cooperation and engagement in order to sustain the current growth curve. “ASAP’s quality assessment programme
is stunning but should be taken on by other associations that are otherwise autonomous in their own areas. “My fear is that some of the new
operators coming in are causing confusion because they are not really qualified to be hospitality providers. Corporates need to work with experts to understand every aspect of the market. Picking the right provider means doing your homework,” says McCrow. And Ben Harper echoes his sentiments.
“Our vision is to put serviced apartments into the heart of hospitality so that it is no longer a niche product in either the corporate or consumer world. We see the apartment concept as a mainstay in the future.”
Page 1 |
Page 2 |
Page 3 |
Page 4 |
Page 5 |
Page 6 |
Page 7 |
Page 8 |
Page 9 |
Page 10 |
Page 11 |
Page 12 |
Page 13 |
Page 14 |
Page 15 |
Page 16 |
Page 17 |
Page 18 |
Page 19 |
Page 20 |
Page 21 |
Page 22 |
Page 23 |
Page 24 |
Page 25 |
Page 26 |
Page 27 |
Page 28 |
Page 29 |
Page 30 |
Page 31 |
Page 32 |
Page 33 |
Page 34 |
Page 35 |
Page 36 |
Page 37 |
Page 38 |
Page 39 |
Page 40 |
Page 41 |
Page 42 |
Page 43 |
Page 44 |
Page 45 |
Page 46 |
Page 47 |
Page 48 |
Page 49 |
Page 50 |
Page 51 |
Page 52 |
Page 53 |
Page 54 |
Page 55 |
Page 56 |
Page 57 |
Page 58 |
Page 59 |
Page 60 |
Page 61 |
Page 62 |
Page 63 |
Page 64 |
Page 65 |
Page 66 |
Page 67 |
Page 68 |
Page 69 |
Page 70 |
Page 71 |
Page 72 |
Page 73 |
Page 74 |
Page 75 |
Page 76 |
Page 77 |
Page 78 |
Page 79 |
Page 80 |
Page 81 |
Page 82 |
Page 83 |
Page 84 |
Page 85 |
Page 86 |
Page 87 |
Page 88 |
Page 89 |
Page 90 |
Page 91 |
Page 92 |
Page 93 |
Page 94 |
Page 95 |
Page 96