Serviced Apartments on Demand Across Metros

Bangalore: Serviced apartments are on high demand across metros, which are mostly preferred by business travelers who look for independent stay. Developers are on their tip of their toe to grab this opportunity and try their hand in this segment as IT companies and MNCs are on rise in maximum cities, reports Neha Pathania Kashyap, MagicBricks Bureau.

Nirupa Shankar, Vice-President, Business Development and Strategy, Brigade Hospitality said that in the local market, the demand for serviced apartment is about 500-700 units and consumers for most of these apartments are business travelers. In Bangalore, south-based Brigade group, Brigade Hospitality has serviced apartments on Lavelle Road and Jayanagar. The average size of apartments the group offers is from 700 to 1100 square feet.

Citi Sterling Facilities Management, another Bangalore-based group has serviced apartments near Marathahalli and M G Road and they consider that the demand for such apartments is between 100 to 300 units. The average size of apartment, the group offers is from 500 to 700 square feet.

Other than basic amenities, customers also request for facilities like television, restaurant, swimming pool, etc. on this note, Shankar stated that during the year the average occupancy of serviced apartments is about 75 percent while it is 50 percent for Citi Sterling Facilities Management.

Mumbai-based Soham World, who has their serviced apartments in Thane area believe that the demand of these apartments is over 700 units and the customer profile, is also different from those compared to south.

Manoj Asrani, Marketing Head, Soham World stated that customers are mainly the new arrivals to the city. These customers prefer to stay for duration of 2 weeks to one month and they are prepared to pay more than 5000 per night. The average size of an apartment is between 500 to 700 square feet. Asrani further added that “The average occupancy rate is beyond 80 percent constantly and at peak season it goes up to 100 percent. This trend is catching up fast in the city,” reports MagicBricks.