Ufi Ibrahim, CEO of the British Hospitality Association, said: “Independent apartment-living with all the benefits of expert hospitality services are a popular and fast-growing trend, particularly for young people and business travellers. As well as dedicated new brands, many of our international member hotel brands are adding serviced apartment offers to their brand portfolios. That’s why it’s vital to have a dedicated representation within our membership.”
The BHA defines Aparthotels and Serviced Apartments as branded ‘cook-in’ plus sleeping accommodations with various degrees of hospitality services offered. This sector of the industry often has very specific customer target markets such as the increasingly mobile business traveller, family leisure travellers, retirees or even university students.
Marie Hickey, at Savills says: “While the sector in the UK remains small compared to hotels accounting for only 3% of hotel bed supply, expansion has been picking up pace with almost 50 new site openings over the last two years as opposed to the five openings reported back in 2005 with 3,200 new units in the development pipeline through to end 2017.”
Savills has identified the fastest growth markets for the aparthotel and serviced apartment sector as Birmingham, Aberdeen, Edinburgh, London, Manchester, Liverpool and Newcastle.
Max Thorne CEO of CL Serviced Apartments, who is representing a PE fund that is investing over half a billion dollars into this sector and is also Chairman and founding member of the BHA’s sector programme for Aparthotels said: “Aparthotels and serviced apartments are one of the fastest growing sectors of the hospitality and tourism industry, particularly in London and the UK’s leading regional cities, so it’s important that our Group has a strong voice in shaping key issues. For our sector, this year we see these priorities as sector brand building, jobs and skills, the sharing economy and cutting tourism VAT.”
There are currently over 15 members of the committee, including key representatives of the major sector business and a balanced addition of other supporting industries, including, planning, building, design and legal sectors.