Apartment Owners Adapt As Short-Term Rentals Show No Signs of Checking Out
Once-resistant developers and apartment operators nationwide are beginning to embrace the short-term rental business as a way to add a new revenue stream for owners, diversifying their incomes and protecting against downturns.
The change of heart comes a decade after the founding of AirBnB, which upended the hospitality industry with its model of connecting property owners or renters with visitors seeking a space for 30 days or less, as an alternative to a hotel.
When the trend began, many owners prohibited the short-term rental practice on their properties, citing concerns about diminished security, property damage and even violence. But now, more companies than ever have come around on short-term rental space, and even established hospitality companies such as Marriott International have created their own services.
That's a sign that short-term rentals are here to stay, said Steve Hallsey, managing partner at Atlanta-based developer Wood Partners, during a panel discussion at the National Apartment Association’s annual Apartmentalize conference held this week in downtown Denver.