I have been a part of Hostel Management for many years and first time posting. I have keenly followed the newer styles of affordable accommodation. I currently work for a company called Stay Open in Venice Beach ( www.stayopen.com). America is a location that struggles with quality affordable accommodation. Our current location is going amazingly well. We are looking to expand and partner with other properties looking to increase their revenue stream here. We have maintained a very strong occupancy year-round and have seen our nightly rate almost triple (up to $150 a night per pod in summer). We have a 9.6 rating on Booking.com, 9.9 rating on Hostelworld and 5 star rating on google.
Stay Open converts office buildings into high-end pod hostels with dedicated coworking space. We also partner with existing accommodation providers to convert the properties to achieve amazing results.
A Stay Open partnership will generate building owners 1.5 - 2x what they would earn versus a traditional lease, especially with uncertain tenant demand in the foreseeable future.
Our structure is simple:
Stay Open creates preliminary layouts and a pro forma
The owner is expected to invest $100 - $125 / sqft for the conversion
Payback on investment is usually under 2 years from the cash flow of the property
The owner receives priority payment based on an implied annual lease
Stay Open receives a reduced management fee until the owner recoups 100% of their CAPEX
New stabilized NOI unlocks significant value in the property
If this is something that interests you please feel free to reach out direct at [email protected]