Operation and management of serviced apartments

Operation and management of serviced apartments

Serviced apartments refer to the developer dividing each hotel room into independent property rights and selling them to investors, and hiring a hotel management company to introduce hotel-style apartments. Property management, providing rental services and financial management services to owners. This type of property is generally built in the city center and in areas with convenient transportation. It is surrounded by shops, restaurants, entertainment and other supporting facilities, and has complete supporting facilities such as facades, elevators, central air-conditioning and electric capacity.

1. Management model of serviced apartments

(1) Property management method

Full authority management mode. Entrusted by the developer or owners' committee, the property company is fully responsible for the management of the entrusted property, and entrusts the property company to set up a management office based on the business model of a hotel-style apartment, recruit employees, and carry out specific management in accordance with the management goals, requirements, and standards determined in the contract. Work, this model can fully reflect the brand effect of full management.

Cooperative management model. The developer and the property company cooperate to establish a project management company, which is jointly responsible for the property management of the project. The property company assigns personnel to serve as the company's general manager and department heads. Through cooperative management, it improves the project management level and cultivates a team of highly qualified management talents for the partners, so that the partners can take over management after the expiration of the cooperation period.

Consultant management model. The developer builds its own property management team, and the property company is hired as a management consultant to provide a complete set of management regulations and guide the developer's operation and operations. Consultant management can be divided into three situations: first, the property company sends senior managers to the project permanently to serve as the general manager of the management company and heads of departments to provide specific guidance and management of the project; second, the property company sends personnel to the project permanently, However, he does not hold any position in the management company, but only provides consulting services at the developer's request; third, the property company does not dispatch management personnel, but a consulting group regularly or irregularly comes to the project to guide the work according to the developer's requirements.

(2) Hotel management method

Consultant management method. According to the developer's requirements, the hotel management company sends hotel management professionals to provide advisory opinions on the hotel's functional design layout, decoration style, engineering equipment, management processes, service equipment, hotel market positioning, marketing promotion, etc.

Discretionary management method. The hotel management company is entrusted by the developer to assign a general manager to implement comprehensive operation and management of a hotel. The highest authority of the hotel is the board of directors. The hotel management company reports the business plan, business plan, and financial budget to the board of directors, and carries out operation and management work after obtaining the approval of the board of directors. The hotel management company does not bear the risk of hotel operation and withdraws management fees in a certain proportion from the operating income every month.

Contract management method. The hotel management company provides the developer with a specific hotel contracting operation and management plan. The developer agrees to the hotel-style apartment business model research package index and the exhibitor is responsible. The hotel management company dispatches a general manager to the project to carry out specific management work and use the contracting index to evaluate the development. The merchant is responsible.

2. Problems in the operation and management of domestic serviced apartments

(1) Domestic property management companies lack hotel management experience

The hardware conditions are similar In this case, service becomes the key factor. 60-70% of a customer's decision to stay or stay is affected by the level of property management. For serviced apartments that the management company can accept and guarantee normal operation, at least 70% of its customers should sign lease agreements. A hotel-style apartment property company with good market operation capabilities is the basic condition for ensuring investors' profits. However, judging from the current market, there are very few such property companies. There is a contradiction between property companies lacking hotel management capabilities and hotel management companies lacking property management experience. Without the efficient, systematic and professional market development capabilities of property management companies, owners will end up with a traditional and extensive rental method, and it is difficult to obtain a stable guarantee of return on investment. The low return on investment, in turn, affects the market consumption pillar of serviced apartment development and the enthusiasm of investors.

(2) Domestic hotel management companies are not qualified to manage serviced apartments

As an investor, with good business methods, rich management and experience, he has a strong influence on the profitability of the investment and the The size of the profit has a very big impact. Industry insiders generally believe that the hotel consumer price (yuan/day) is 10% of the real estate price (yuan/square meter), and the sales price of serviced apartments is about 1.5-2 times higher than the general real estate price. , which is what motivates developers to develop this product. However, domestic hotel management companies have two weaknesses. First, they always want to manage high-end hotels, but they are always in a passive position in the competition from famous foreign hotel management companies; second, they always want to use mid- to long-term carte blanche management methods. , there is always a fundamental conflict with the interests and business habits of hotel owners. Domestic hotel management companies generally lack innovation and are unable to find stable market development and cultivation points.

(3) The split of ownership leads to the problem of virtual entrustment of the client

As a general hotel, the investor is the only owner and can entrust the hotel management company to manage it. However, as a serviced apartment, each room has been sold to different investors in a scattered manner. Therefore, the client will be empty, which will harm the interests of small and medium-sized investors. As a result, the management process of serviced apartments is too chaotic, the owners' rights and interests cannot be protected, and rental income cannot be guaranteed.

3. How to avoid risks in investing in serviced apartments

(1) Site selection, positioning and operation methods determine the appreciation space

The main target customer group of serviced apartments Institutions in the tertiary industry and creative industries from multinational companies and domestic small and medium-sized enterprises. They do not have large space requirements for office space, but they must facilitate information exchange, personnel exchange and capital exchange, comprehensive supporting services, and excellent transportation conditions. Serviced apartments have exactly these qualities. And the price-performance ratio is far better than that of hotels and ordinary office buildings, so it will become their first choice. Judging from the common annual return rate of 8-10%, serviced apartments are more suitable for medium and long-term investors. For developers, when selecting regional locations, they should start from the functions of the products to meet the needs of all types of business travelers and small and medium-sized service companies. Generally speaking, the most advantageous locations are in the heart of central urban areas and transport hubs.

(2) Property management determines whether customers stay or leave

Providing good property management is the most direct condition for attracting customers. Domestic property management companies still have problems that cannot be managed properly. This has dampened the confidence of some investors. Therefore, serviced apartments hire professional property management companies or hotel management companies for management. Not only can guests enjoy the services of a star-rated hotel, but the property company can also help the owner take care of the entire property. Image, help property appreciation.

(3) Good value for money and high cost performance

Find a serviced apartment with high cost performance that will allow you to make money before investing. Serviced apartments seem to be a very high-priced investment product, but they are not. When choosing those hotel-style apartments for rent, you must carefully look at the unit price. Some developers often include the rent money in the house price. Therefore, when investing in serviced apartments, investors must also master some skills to make money before buying, and this skill depends on investors' comparison before buying. ;