The marketplace for travellers on the lookout for cheaper lodging as they journey the globe is booming. Safestay is hoping to capitalise on that development.
Hostels operator Safestay is planning to double its portfolio throughout Europe over the subsequent few years, in response to a report in The Occasions.
Chairman Larry Lipman is reported as saying the corporate ought to “simply be capable of double over the medium time period, which is about three years”.
At the moment it runs 20 hostels throughout Europe, together with within the UK the place it owns and is liable for the freehold of 5 hostels. It additionally has one freehold hostel in Italy and 5 in Spain whereas the remainder are run on a leasehold foundation.
The corporate is already reaching out to potential hostel operators by way of a franchise provide. Lipman was quoted as saying: “They offer us the prospect to safe different websites with out the necessity for large fistfuls of {dollars}.
“If we can veer away from shopping for the buildings we will get extra flags within the floor and a bigger income stream and not using a capital requirement.”
Though Europe was nonetheless the group’s “instant taking part in discipline”, Lipman identified that “the expansion in Asia and potential in america is just not misplaced on us”.
The worldwide hostel market is attracting extra customized as budget-conscious travellers look to expertise completely different nations inside a extra sociable group environment than is present in accommodations.
The worldwide hostel market is about to be value round $12.1bn (€11.6bn) by 2033, in response to Safestay, quoting Hostel Market Outlook 2023 – 233, Future Market Insights.
