Airbnb now a third of the size of the hotel sector in London
Investment and demand in UK hotels remains strong , says Christie & Co
Travelodge to open three new London hotels
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AIRBNB
Airbnb now a third of the size of the hotel sector in London
Airbnb listings now equal roughly a third ( 32 %) of the size of the hotel sector in London , with 64,000 Airbnb listed properties in the capital competing with 197,970 hotel rooms .
Analysis by accounting and advisory firm Moore Stephens has also shown that Airbnb listings now represent 30 % of the size of formal hotel and bed and breakfast rooms in Brighton as well .
According to the group concerns have been raised that Airbnb is “ taking advantage of an uneven playing field ”, in order to gain market share from the the hotel and bed and breakfast sector in London and across the UK .
Common complaints that property owners renting out their rooms through Airbnb include businesses : n Not paying business rates n Not paying VAT n Often have lower health and safety standards than hotels – or fail to adhere to formal health and safety standards n Are often in breach of planning regulations that put the legality of their use as holiday accommodation in doubt n Are unlikely to be advising their insurers about change in use and the additional risks involved n Creating problems including security issues for other residents in residential blocks as many residential properties do not have the kind of sound proofing Some cities around the world have already introduced stricter regulations on Airbnb listings . Hosts must now : n Be full-time residents and can only rent their property for 90 days in San Francisco . n Pay an annual fee for a tourist licence in Barcelona .
n Obtain a general permit from their borough in Berlin and could face a maximum penalty of up to € 500,000 (£ 441,375 ) for breaking any regulation . Peter Duffy , director at Moore Stephens , said : “ Airbnb is increasingly taking market share from hotels . Hotel groups say this because Airbnb can bypass industry regulations allowing it to undercut the formal industry . Everyone would welcome Airbnb being more transparent . More statistics are needed so that the impact of Airbnb , positive or otherwise , can be properly debated .
“ Airbnb and other similar platforms can offer significant benefits to individuals , for those renting their property out and holidaymakers .”
HOTEL INVESTMENT
Investment and demand in UK hotels remains strong , says Christie & Co
The hotel market is enjoying a “ stellar ” period according to business property adviser Christie and Co ’ s latest half year report .
The report provides an overview of the UK hotels market in the first half of 2018 , reflecting on previous expectations , emerging trends , and any challenges facing the sector .
It says the hotel market is one of the few sectors to fully benefit from the response to the EU referendum , as the decline in sterling boosted leisure travel from Europe , the US and China ; according to VisitBritain 39.9 million visitors to the UK spent more than £ 25bn in 2017 up 6.2 % on 2016 .
A weaker pound was found to have lifted the number of staycations , which drove up occupancy and RevPAR in London and UK holiday hotspots .
Undoubtedly the sector will face trading challenges due to cost pressures including staff wages , business rates , pensions , utilities and the cost of food . However , optimism is high ...
Spokesperson , Christie and Co
HOTEL OPENINGS
Travelodge to open three new London hotels
Budget hotel chain Travelodge has announced the openings of three new London hotels , in celebration of 30 years of trading in the capital .
The properties are located in Acton , Bromley and Dagenham and collectively represent an investment of over £ 35m for third party investors and have created 80 new jobs .
All three properties have been styled in Travelodge ’ s brand design and all family rooms include two individual beds for the children . The rooms also feature LED ceiling lighting , providing a ‘ comfort cooling ’ system to enable guests to regulate the temperature of their rooms .
In August the hotel chain is opening its new flagship hotel , London City Travelodge , which will be the company ’ s largest new build development to date . The 395-room hotel with Bar Café represents an investment of £ 95m and will create 100 new jobs .
Tony O ’ Brien , Travelodge UK property director , said : “ Over the last three decades , Travelodge has become famous across London for offering great value and making it affordable and accessible for business and leisure travellers to visit the Capital .”
August 2018 www . hotelowner . co . uk 11