A press release issued by the Corporate Housing Providers Association (CHPA) earlier this month found that the corporate housing industry remains strong despite a challenging business climate. In the US, industry revenue increased to $2.66 billion in 2012.
CHPA CEO Mary Ann Passi says,“Corporate housing still made gains in revenue in 2012 even though companies faced apartment inventory shortages and increased competition from other lodging choices. With apartment communities having the lowest vacancies since 2002, finding favorable lease terms for corporate housing providers was and remains challenging.”
The reports also found that while relocation and contract work remain the strongest uses for housing, many providers also experienced a dramatic decrease in government or military stays due to spending cuts and significant restrictions on travel. As the government sequestration continues and budgets remain tight, corporate housing providers remain hopeful for a stronger business economy, a more favorable job market with more relocations and an increase in long-term stays needed by clients.
For more information about the report and its findings, visit Digital Journal
CHBO put out its own annual by owner report earlier this year. You can learn more about it by reading our blog post, “Reflecting on the 2012 Corporate Housing By Owner Annual Report.”