Corporate housing has seen significant growth in the last twenty years, this has largely been lead by corporations diversifying their locations globally. In the 1970’s it was largely unheard of for small to medium size businesses to operate internationally, but with the cost of airfares declining and globalization increasing the need for these businesses to even have a temporary presence overseas has greatly increased.
One of the main issues with this surge in international business travel is that of accommodation. Traditionally businesses would put up their employees in high end hotels such as the Hilton or the Windsor. There are two problems with this, the excessive cost (these rooms often go for $200USD + per night) and the limited freedom (for example, these hotel rooms mostly do not come with kitchenettes making food expensive as take out is a must).
This has lead to a boom in corporate housing, not only is it more affordable but it also offers it’s residents with more freedom and a more homely environment.
The Figures (H2 ORH3)
In 2009 corporate housing revenue was 2.36 billion USD, in 2010 it climbed to 2.47 billion (4.453% year on year growth). Revenues for 2011 are still being calculated but are estimated to grow despite a slow economy both domestically and internationally.