---
title: The Triumph of Extended-Stay Hotels
description: Why are extended-stay hotels so popular now, and how is this hospitality segment evolving?
image: https://blog.hamiltonbeachcommercial.com/hubfs/Extended-Stay_Suite2.jpg
---

 

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# Hospitality

## [The Triumph of Extended-Stay Hotels](https://blog.hamiltonbeachcommercial.com/hospitality/the-triumph-of-extended-stay-hotels)

 11:17 AM on June 1, 2022

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Quick quiz: Which hospitality segment saw the highest occupancy rates in 2021?

**Chic city hotels?** Urban hotels — particularly those reliant on group travel — had [2021 occupancy rates](https://blog.hamiltonbeachcommercial.com/hospitality/2022-hospitality-trends-a-big-but-bumpy-rebound-in-the-hotel-business) that were lower than in 2019.![Extended-Stay_Suite2](https://blog.hamiltonbeachcommercial.com/hs-fs/hubfs/Extended-Stay_Suite2.jpg?width=461&name=Extended-Stay_Suite2.jpg)

**What about upscale vacation properties?** Resort occupancy was around 60% and luxury occupancy was 52%, said Jan D. Freitag, National Director of Hospitality Market Analytics for CoStar Group. This represents a 12%-13% increase, respectively, over 2019.

The real winner has been **extended-stay hotels**, with an average occupancy rate of 73% in 2021. “Given reaccelerating business demand and continued strong leisure travel, expectations are that extended stay hotels will continue to outperform, with further occupancy and rate acceleration and continued strong investor demand,” [Freitag wrote](https://www.costar.com/article/282568541/extended-stay-hotels-a-pandemic-success-story-remain-investors-darling).

## What’s Behind the Success of Extended-Stay Hotels?

Industry leaders point to a few different reasons. One, guests like the homelike feeling of extended-stay rooms. You can watch TV from the sofa. You can cook your own meals. You can close the bedroom door.

Also, the pullback in amenities at full-service hotels means that extended-stay doesn’t feel that different. Sure, housekeeping doesn’t come every day — but because of hotel labor shortages and COVID-altered norms, housekeeping is pared back at full-service properties, too.

Extended-stay properties are well-suited to the growing population of traveling workers, including digital nomads, who book long stays. [Airbnb has reported](https://www.nbcnews.com/business/travel/extended-stay-hotels-play-long-game-rcna17365) that over the past two years, the average stay increased by 15 percent, and stays of 28 nights or longer have become the fastest-growing type of booking.

## New Trends in Extended-Stay

Hoteliers are taking note. They’ve opened [444 extended-stay properties](https://www.washingtonpost.com/travel/2022/01/27/extended-stay-hotels-tips/) in the past two years. Many are quite different from the traditional model of cookie-cutter efficiencies.

Just look at [CatBird](https://www.catbirdhotel.com/), a boutique extended-stay hotel in Denver, Colorado. The $25 amenity fee covers perks both practical (hot breakfast, coffee, Wi-Fi, delivery lockers, gym access) and playful (the ability to borrow bikes, scooters, outdoor gear, specialized kitchen equipment, and even a houseplant for your room). Dogs are welcome for a one-time pet fee, and they receive a welcome package of their own.

In a similar spirit, [Roost](https://www.myroost.com/) (which calls itself an apartment hotel instead of extended-stay) offers “rooms you actually like, in a neighborhood you want to live in, for however long you need.” Amenities include in-suite laundry, a fully equipped kitchen, Davines bath amenities, and a high-end coffee program, with Bonavita coffee makers, Baratza grinders and Chemex pour-over setups.

Then there’s [stayAPT](https://www.stayapt.com/), a fast-growing brand that offers spacious, 500-square-foot-plus suites with a 55-inch television; a kitchen with full-size appliances, and a separate bedroom with a walk-in closet, TV, and workspace.

## How to Win Over Extended-Stay Guests

As you can see from the latest offerings in the space, guests are beginning to expect more from extended-stay. As a result, “hoteliers will have to pay close attention to what guests want in order to maintain market share, whether it’s next-gen technology or service levels,” [*Hotel Management* advises.](https://www.hotelmanagement.net/content/how-extended-stay-hotel-segment-leading-recovery)

Really, guests’ wish list is simple. It includes:

- **A welcome for pets —** Hilton’s extended-stay properties [recently became 100 percent pet-friendly](https://www.nbcnews.com/business/travel/extended-stay-hotels-play-long-game-rcna17365), with pet fees at Homewood Suites and Home2 Suites starting at $50 per stay.

- **Access to the outdoors —** stayAPT recognizes guests’ heightened interest in outdoor space. Its private interior courtyard features seating, a grill and a firepit.

- **A next-level kitchen —** The kitchen or kitchenette is the true differentiator for extended-stay, so why not make it the best it can be? Provide kitchen equipment that guests appreciate, such as [durable, powerful blenders](https://hamiltonbeachcommercial.com/extended-stay/blenders/); [versatile extended-stay coffee makers](https://hamiltonbeachcommercial.com/extended-stay/coffee-tea-extended-stay/); [sleek toasters](https://hamiltonbeachcommercial.com/extended-stay/toasters/); and more.

 

[Explore Hamilton Beach Commercial’s line of extended-stay hospitality products.](https://hamiltonbeachcommercial.com/extended-stay/)

 

 

 

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 Topics: [extended stay hotels](https://blog.hamiltonbeachcommercial.com/hospitality/topic/extended-stay-hotels), [extended stay amenities](https://blog.hamiltonbeachcommercial.com/hospitality/topic/extended-stay-amenities)

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