STAYCITY FORGES AHEAD WITH EUROPEAN EXPANSION PLANSPublish date: Thu 13 Feb, 2014
Staycity, the Dublin-based serviced apartment operator, is on target for 30% growth over the next 12 months with new properties opening in Lyons, Venice and Greenwich, London.
The company currently operates apartments across eight European cities – Dublin, Birmingham, Edinburgh, Liverpool, London, Manchester, Paris and Amsterdam – with a total of over 1,000 apartments. Investment in new sites over the next five years will take the Staycity estate to 5,000 apartments by 2019.
“The serviced apartment sector is set for future expansion, driven by the needs of the travelling public. We intend Staycity to become one of the leading brands in the market,” commented CEO Tom Walsh.
“Corporate and leisure guests are now becoming more familiar with the benefits of using serviced apartments and we anticipate that the sector’s share of the short stay market across Europe will grow significantly over the next five years.”
Staycity serviced apartments typically accommodate from two to six people. The apartments are larger than the majority of hotel rooms and have a fully equipped kitchen with dining room/lounge and bathroom. All have 24-hour reception service.
“Serviced apartments usually cost less per person than an average hotel room, particularly for families or small groups. In contrast to hotel rooms, apartments offer more space, independence and flexibility,” added Walsh.
Some 60% of Staycity’s revenue comes from leisure customers, with 40% being mid-week corporate customers. The average stay at a Staycity apartment is four days, with 60% of bookings made directly from Staycity’s website. Around 60% of guests are aged 18-44.
Serviced apartments make up 7% of the short stay market in the UK, compared with 12% in US cities. Across Europe market share is smaller, at just 1%, but the sector is expected to see rapid growth as customers become more familiar with the concept.