GSAIR 2023 22

By Mark Harris Contributing Editor

Fig . 6 Corporate serviced apartment volumes by territory

42.73 % 30.00 % 18.89 % 18.00 % 43.00 %

As Fig . 6 shows , Asia Pacific ( APAC ) accounts for the largest share of corporate serviced apartment volumes . The UK has 42.73 % share , compared to Europe ’ s 30 %, with the Americas receiving 18.89 % and the Middle East and Africa 18 %. 8

Our survey shows that London is the UK destination seeing the greatest growth ( 64 %), compared to Brussels in Europe ( 40 %), New York in the U . S . ( 43 %), Riyadh in the Middle East & Africa ( 67 %) and Singapore in APAC ( 44 %).

Apartments in the Middle East are in high demand , both for residential and commercial purposes . 50,000 sqm of office space has brought total inventory to 4.9 million sqm in Riyadh and 1.2 million sqm in Jeddah .

Two major retail developments in Riyadh have increased retail space in the capital to 3.4 million sqm , whilst the launch of Riyadh Air and a new transit visa service will boost the Kingdom ’ s hospitality sector . 9

Amongst agents , London is the most frequently booked destination ( 16.49 %), followed by Dublin ( 6.19 %), Paris , Dubai , and New York ( all 5.15 %), and Singapore ( 4.12 %). Strong demand for Singapore is also reflected in the city ’ s status as one of the top seven cities by bookings .

Top destinations

Fig . 7 shows survey respondents ’ collective top five destinations . They include Miami , where a combination of low taxes , great weather , and a business-friendly environment have attracted entrepreneurs and major investors alike . Miami ’ s economy is likely to keep growing even if , overall , the U . S . economy struggles to fight inflation , and other Sun Belt cities may struggle to fill new apartment properties . 10

90 % of Fidelity International ’ s serviced apartment business is centred upon London , but Carol Fergus also wants to use serviced apartments in India and some parts of Asia .

“ That ’ s where our back office team are located and they ’ re the ones that tend to stay longer as opposed to the client-facing team . However , the standard of serviced apartments in India is not yet up to the standard that we require for our travellers .”

The U . S . is another country in which Carol says there ’ s plenty of opportunity for serviced apartments . “ Our stays are based on 30 + days so the business tends to be relocation-focused . I ’ d like to see more opportunity in France , Germany , Switzerland because they ’ re hot spots for us .”

8 . The totals do not add up to 100 % because multiple respondents are giving values relevant to them . 9 . https :// makkahnewspaper . com / article / 1588176 / english-articles / a-structural-shift-in-saudi-arabias-residential-market-sees-demand-forapartments-outpace-villas-jll 10 . https :// www . wealthmanagement . com / multifamily / look-miami-s-hot-multifamily-investment-market