We’ve outlined the top contributors to corporate housing costs so you know exactly what you’re paying for with your temporary furnished apartment.
by · Jan 9, 2024
At Viciniti Corporate Housing, with over 30 years of industry experience providing corporate housing solutions to well over 1/2 million people, we’re committed to demystifying the costs associated with corporate housing. In a landscape where clarity often takes a back seat to complexity, we aim to provide transparent, detailed insights to guide your corporate housing decisions.
Here, we’ve detailed the key factors influencing the cost of a corporate apartment enabling you to understand the full value offered with your temporary furnished apartment. We’ve also highlighted the things you can control that will impact what you pay.
“Location, location, location” isn’t just a real estate mantra; it’s a pivotal factor in corporate housing. The distance to city centers and attractions can significantly influence cost.
While a prime downtown spot in a city like Austin, TX, might range upwards of $189 per night for a one-bedroom, opting for accommodations just outside the hustle could save you nearly 40% without compromising on the convenience and quality of your stay. Less costly locations while further from the center of town have their own perks! Less traffic, serene environments, and more square footage accompany those willing to stay a little further from the heart of the city.
You’ll need to decide if the extra cost of a prime location near your project or business is worth the expenditure or whether you’d prefer the savings that come with less pricey locations.
As a short-term resident, a distinct benefit of using corporate housing lies in the flexibility of lease terms. With corporate housing, you can secure a high-demand apartment for periods as short as 30 days—a convenience seldom available to individual renters, who may be bound by traditional lease agreements requiring commitments of six months to a year. This flexibility allows you to enjoy premium living spaces with no long-term strings attached.
While corporate housing providers typically incur costs comparable to individual renters, they partner with apartment communities to negotiate the best terms and maximize cost savings to the end user by arranging multiple stays in an apartment over the course of a lease. In this way, they take the long-term lease risk off your hands.
In addition to the short-term lease advantage, another strategic advantage of partnering with a corporate housing company is the assurance of availability. These companies’ long-term lease agreements with apartment communities mean they can provide accommodations even during peak seasons or on short notice. This foresight ensures that travelers have access to the housing they need, precisely when they need it, without the stress of market fluctuations and limited supply.
Corporate housing rates are intertwined with the local cost of living. Higher living costs translate to higher rates. Researching the local cost of living is a reliable starting point to gauge the potential cost of your extended stay in a furnished apartment. Utilizing a Cost of Living Calculator before your move can provide you with a clearer picture of the financial landscape you’ll be entering in your destination city.
The quality and quantity of amenities significantly influence corporate housing costs. Partnerships with luxury apartment communities mean access to high-end amenities, elevating your stay into an experience. But these amenities will naturally factor into the corporate housing rates. Amenities such as:
The size and features of the apartment, including additional bedrooms, upscale bathrooms, and private outdoor spaces, are also critical components in determining how much corporate housing costs. Despite the impact on rates, these amenities and conveniences elevate the quality of your stay, ensuring that corporate housing provides comfort, space and a premium living experience.
The inclusion of high-end in-apartment features alongside community perks sets the best corporate housing companies apart and justifies the pricing.
Furnishings stand as a defining factor in the pricing structure of corporate housing. The thoughtful furniture selection and placement transform an apartment from a mere space to a welcoming home. Corporate apartments are outfitted with essential and comforting furnishings, including plush sofas, supportive beds, smart televisions, complete kitchen set-ups for all your cooking needs, and all bed & bath linens —meticulously chosen to make the apartment move-in ready.
While sofas and beds are fundamental to furnishing a home, the additional touches often give a space warmth and personality. From the artwork to the kitchen’s quality cookware, the little touches contribute significantly to the ambiance. These details, though subtle, are pivotal in cultivating a living space that resonates with the comfort and familiarity of home, thus reflecting their value in the overall cost.
Corporate housing prices are inclusive of all utilities, which means no separate bills for electricity, gas, water, or trash. On top of your usual utilities, the corporate housing company will also pay for some streaming services and WiFi in your apartment so you can feel right at home without fumbling with an internet provider.
These entertainment expenses and the costs of the basic living utilities you’d normally pay for in a home are tied back into the flat rate charged by the corporate housing company. You or your company will make one easy payment and never have to worry about setting up utilities in your apartment.
This all-inclusive approach is part of the overall cost of corporate housing but tremendously simplifies your stay, offering convenience and peace of mind.
Unlike standard housing options, corporate housing providers usually offer 24/7 customer service, ready to assist with any issue anytime, ensuring that your stay is hassle-free.
High-quality customer service is a hallmark of corporate housing and isn’t just for emergencies. You can contact them any time with any problem that may arise during your stay in your corporate apartment, and they will do whatever it takes to resolve the issue so you can get back to enjoying your stay. If there is a maintenance issue, you don’t have to deal with the apartment community or jump through any hoops; your corporate housing provider handles everything for you.
Offering these services does increase the cost of providing a corporate apartment, but the peace of mind corporate housing clients receive knowing they can reach someone for any problem at any time is well worth it.
The ebb and flow of corporate travel can influence pricing, with higher demand during peak seasons potentially increasing costs by up to 10%. Planning your stay during off-peak periods can lead to considerable savings. All providers experienced these issues when the housing boom in 2021 led to a severe apartment shortage. Something to consider as apartment supply is slated to thin out dramatically in 2024, which will likely be reflected in the cost of corporate apartments as shortages affect different regions.
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The corporate housing landscape is evolving, with the introduction of corporate homes featuring 3, 4, or even five bedrooms, offering a new dimension to short-term accommodations. These homes present an ideal alternative for families traveling for business, relocating, or needing temporary housing due to unforeseen circumstances like natural disasters or fires.
While the cost of renting a corporate home is generally higher than that of an apartment, the benefits are substantial. Families can enjoy the privacy and comfort of a larger living space with multiple bedrooms to accommodate everyone’s needs. The addition of a yard provides a sense of normalcy and space for relaxation or play, which is especially beneficial for those with children.
These homes also offer the advantages inherent to residential living, such as neighborhood communities, more personal space, and the absence of shared facilities typical in apartment complexes. For families, this can mean a smoother transition during their temporary stay, allowing for a semblance of routine and home life.
Corporate homes serve as an excellent steppingstone for individuals and families during relocation. They provide a comfortable and stress-free environment where you can easily settle into your new city. This transitional phase affords you the invaluable time needed to explore the area, understand the local real estate market, and make a well-informed decision about where to plant your roots permanently. With corporate homes, you’re not just finding a temporary dwelling; you’re given the breathing room to carefully choose the ideal neighborhood and home that aligns with your long-term aspirations and lifestyle preferences.
In weighing the options between corporate apartments and homes, it’s important to consider the financial aspect and each family’s lifestyle and space requirements. The choice of a corporate home can often be the more fitting solution for those seeking the comforts and conveniences of a traditional home environment during their temporary stay.
Navigating the cost of corporate housing can be complex, as multiple factors play a role in determining rates. It’s not just about a one-size-fits-all number; it’s about understanding the nuances that contribute to the final price tag. Location reigns supreme as the predominant factor, with city-center dwellings generally commanding higher prices compared to their suburban counterparts. For those seeking value, looking towards the suburbs can lead to substantial savings without compromising on quality or comfort.
As for the accommodations themselves, regardless of the location, you can expect to find a fully furnished space equipped with all the comforts of home, backed by around-the-clock customer service—a standard offering from leading corporate housing providers.
In 2024, reflecting on market trends and economic adjustments, corporate housing rates can range significantly. The Corporate Housing Providers Association (CHPA) did a study in 2017 and found the average daily rate was around $161. Currently, rates range from approximately $90 to upwards of $250 per night, with the most sought-after locales potentially exceeding these estimates.
For those planning an extended stay in the heart of America, regions such as the Midwest continue to offer some of the most cost-effective solutions in corporate housing, presenting an attractive proposition for budget-conscious professionals without sacrificing the essentials of a premium extended-stay experience.
At Viciniti, we offer more than just a temporary living space; we provide a local experience tailored to your preferences. While costs can vary, our commitment to value and quality remains unwavering. Find your ideal corporate housing solution across our 15 city locations and enjoy the essence of a true home when you stay with Viciniti.
To receive an accurate, customized quote that meets your specific needs and location preferences, visit us at MyViciniti.com or email us at sales@myviciniti.com. Let us help you navigate the corporate housing landscape with ease and confidence.
