Corporate Housing: Is It More Affordable than Extended Stays?
Posted on November 17, 2011 by CHBO
An extended stay, as defined by the Travel Industry Dictionary, typically involves someone staying in a hotel for more than seven days. An extended stay hotel is often called a “hybrid” hotel, as it features home-like conveniences such as a small, basic kitchen and slightly larger rooms or suites; however, it’s still located within a hotel-like setting.
By comparison, corporate housing, too, provides home-like amenities, like a full sized kitchen, but it is located in residential buildings and neighborhoods vs. a transient, hotel-like setting. The required stay for most corporate rentals is one month or longer.
So, which one – extended stay hotels or corporate housing – is more affordable?
Well, affordability depends on a few things:
Ability to Negotiate: Extended stay hotels are priced in weekly increments – meaning you pay for your stay by the week. Fees are usually at a fixed rate – similar to a night at a hotel – which means they are likely non-negotiable. On the other hand, corporate housing is priced by the month – similar to how you would pay a landlord your monthly rent check. If the property is managed and leased directly by the owner (otherwise known as a “by owner” corporate housing landlord), there may be an opportunity to negotiate the rate. If you’re going to stay longer than one month, you may be able to negotiate a discounted rate, for example.
Access to Amenities: Extended stays come with limited amenities and may charge guests for parking or Internet usage fees and lodging taxes. In a certified corporate rental, Internet and parking are included in the lodging fee. Plus, rental properties located within a condo building, for example, may offer free access to a gym, pool and other amenities.
Grief Per Dollar: If you’re traveling for several months at a time, staying in an extended stay hotel can make you feel, well, depressed. You see people checking in and checking out all the time. You hear dinging elevators or are interrupted by the cleaning service when you’re still showering. In other words, you still feel like you’re staying in a hotel. But with a corporate rental, you’ll be staying in a residential property with all the creature comforts of home! Your grief per dollar may, in some cases, be higher in an extended stay than in a corporate rental.
Price: In general, corporate rentals often come in at a lower price point, depending on the location and amenities. A monthly stay can be cheaper than paying night-to-night or week-to-week rates. Price out your options – you may find that they’re not much different after all, but you get way more with a corporate rental.
When exploring your options and deciding whether to stay in an extended stay hotel or a corporate rental, be sure to weigh not only the price of the property, but other factors as well in order to find the right housing option for you. However, remember that corporate rentals can be very affordable in comparison to hotels – so do your homework!