London’s short-term rental sector is outdoing hotels and serviced apartments in terms of occupancy and revenue.
Some 62.7% of short-term rentals were occupied in June, compared to 40.6% for hotels and 39.7% for services apartments.
This represents a 35.7% rise for short-term lets year-on-year, as the rise of visitors to the capital is giving the sector a major boost.
The tracking study was with the UK Short Term Accommodation Association.
Merilee Karr, chair of the UK Short Term Accommodation Association and chief executive of UnderTheDoormat, said: “It’s great to see that some of the main business indicators for the short-term rentals sector are looking in much better shape now since the UK domestic tourism and hospitality markets opened up.
“Whilst there has been a noticeable absence of international visitors to London, the news that fully vaccinated individuals from Europe and the US will be welcomed back to England from 4 August, should help improve the picture for many operators and drive the recovery for the capital’s accommodation.”
Landlords using Airbnb and other short-term lets are also making more revenue per room, at £79.20 in June, a 59.5% year-on-year increase.
In comparison hotels averaged £40.40 and serviced apartments typically generated £57.80 per room.
The average stay recorded in short-term rentals was 11 days in June, up from 9.4 days last year.
Karr added: “It’s interesting to see that not only is occupancy and revenue per room looking good but the average length of stays has steadily increased since April. Guests are taking fewer but longer trips away because short term rentals can offer them a true ‘home-from-home’ experience enabling people to combine work with time away.
“As the traditional UK holiday destinations fill up, people should turn to see what their cities can offer. Short term rentals enable guests to socially distance themselves from others and offer them the reassurances of high standards of cleanliness and safety. This should appeal to both leisure and business travellers.”