UK Serviced Apartments Are in Demand

UK tourists and businessmen prefer serviced apartments to chain hotels, reveals a report by CBRE.

According to a report published by CB Richard Ellis, the demand for prime property, namely, serviced apartments, increased lately.

As such, companies letting serviced apartments in the most popular destination for tourists and businessmen - London - see yields of 6-7%.

The demand has not fallen in October even though autumn and winter months are slower than summer months. Currently, rent rates and occupancy rates of serviced apartments are 7% higher than at the same time last year.

Commenting on the findings, Ms. Jennet Siebrits of CB Richard Ellis, said that "different audiences have different requirements. Our analysis shows that rents for smaller units are highest in the City at just under £1,000 per week on average, while weekly rents for studios in Kensington and Chelsea are lower at £911."

She also highlighted that many tourists and businessmen switched from chain hotels to privately-owned serviced apartments lately as they offer better service.