The Indian government has been trying to reanimate the hotel business for more than ten years. One after another, resolutions are signed, old hotels are demolished and new ones appear. But the hotel services market doesn’t help officials: the return on investment in it remains low, business processes still suffer from administrative resources, and serious people prefer to invest in more profitable segments. For example, in service apartments, a kind of hybrid of a mini-hotel and an expensive rental apartment.
Start from the beginning
We will try to define a new phenomenon for the Indian real estate market. Under the service apartments, realtors understand housing for rent for a short period: usually up to three months, sometimes for a day. These apartments are fully equipped technically, furnished and provided with a range of services (with the services of a maid, a cook or even a nanny). They are most popular among those coming to Indian on a business trip to employees of large Western companies. According to the head of the department of service apartments of the short term rentals Kolkata Agency, up to 75% of their clients are foreign specialists.
The companies that have made service apartments with their business also have additional services included in the rental price: the ability to book air and railway tickets, book excursions and taxis, call a translator.
However, a guest of a service apartment of short term rentals Kolkata can always reduce the already not very high costs: refuse maid service or the daily change of bed linen. This is especially true for citizens who come to Indian for long. Savings of residents of such apartments can reach 30-50% compared with the cost of hotel rooms at the same level. The average price of a room in a four-star hotel is at least 3500 Rs. The amount of rent of such an apartment does not depend on the number of residents. Therefore, there is often the option of settling service housing by two or three guests, and if they are tourists, and even young people, an apartment can be rented by three or four.