Lodgis' message in response to Airbnb's fundraising announcement

In response to AirBnB's announcement of a billion dollar fundraising effort in order to offer support for after the crisis, Alexis Alban, CEO of Lodgis, which is the leader in furnished rentals in Ile-de-France, talks about the consequences of the pandemic on the real-estate market, but also about the American giant’s approach, which no longer represents the financial paradise that property owners had previously imagined.

“If the crisis hits the real estate sector in France particularly hard, we remain confident and see an opportunity to rethink rental investment in general during this unprecedented period.
Indeed, the model of the furnished seasonal rental property for tourists is weakened: it has attracted owners and investors for many years who are turning away from it today and disappointed by its profitability and tired by heavy logistical management and a hardening of regulations in France. Airbnb’s recent fundraising effort to support the post-crisis illustrates this disenchantment.
We believe that traditional furnished rentals represent a more sustainable and secure alternative. Even if the confinement period affects us, we are continuing to receive rental requests for the coming months and we have managed to maintain an occupancy rate close to 90% for the majority of our assets under management.
The traditional furnished rental offers many advantages that are not yet very popular in seasonal furnished rentals for tourists. Firstly, it responds to new uses of housing for increasingly mobile tenants and at the same time is more attractive for owners and investors (advantageous taxation, similar maintenance and repair costs of 23%, higher occupancy rate of 31%, control over the duration of the rental period, guaranteed rent, etc...). In addition, let us not forget that our clientele are not tourists and are mainly French tenants, which represents additional security for our activity in the face of the border closure. We want to bet on a solid future for the traditional furnished rental and redefine the profession of real estate agent in this context, which will continue to evolve."

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