13 August 2018, Germany | Corporate Finance | News
In recent years, the market for so-called serviced apartments* has been increasingly fed by an enhanced investor demand. As a result, transaction volumes have steadily increased. Structurally located between hotel and housing, it can be seen as a niche product and a hybrid form of residential use, with correspondingly heterogeneous, but overall higher user charges. Composed of individual apartments, serviced apartments include completely
furnished rooms as well as additional services (weekly cleaning service, reception, catering services, etc.), in comparison to normal housing. The range of services varies, depending on the provider and the customer requirements, between low degree of service and hotel room service. Currently, the majority of serviced apartments is located in an urban environment (central location, close to transport hubs, trade fairs, commercial centers, event centers, etc.) and primarily visited by long-term users.