Maxwell Drever analyzed the opportunities and challenges associated with the hotel to residential unit conversion
As countries continue to struggle with the COVID-19 crisis, policymakers across the globe are debating how to support the workforce population. Remember that affordable housing has become the need of the hour. The hotel to housing conversion has gained immense popularity because of its varied advantages. It is a solution to the problems of low and medium-income families.- Maxwell Drever
The ongoing housing crisis is not a one-day phenomenon. COVID-19 has compelled low and medium-income families to stay in the suburban areas because of that economic hardship. As a result, they have to undertake long commute times and spend on different monetary aspects.
In these troubled times, commercial establishments get equally harassed. Hence, they are hard-pressed by the coronavirus pandemic. The shutdown and social distancing norms affect the hospitality sectors in the hotel industry. It has affected business travel, international travel, and tourism drastically.
- How to solve this?
In these stressful times, when various hotels are sitting empty, policymakers are trying to motivate the transformation of hotel rooms into residential units.
- It will reduce the rent burden and provide them with easy returns every month.
- To help reduce the problem of homelessness and housing instability, hotel to housing conversion is a logical initiative.
- Along with this, unoccupied hotels are a significant physical asset, and they can be used as temporary housing to attract more guests.
- So, the time has come for societies to understand the underlying opportunities of hotel conversion and examine the legal aspect with the help of governing bodies.
- The financial crunch makes the issue more severe.
The immense economic distress in the hotel industry has made conversion emerge as a good and long-term opportunity to grab benefits. One out of five hotels is changing into a residential unit due to the increasing housing demand. Maxwell Drever asks readers to remember that these hotel owners and property owners require more funds and resources to manage the crisis. Hereafter, the time has come for governmental institutions to rethink their housing policies and pay attention to the need of the hour.
- The role of housing policies
Housing policies have transformed over the years. If you look at statistics, it reveals that earlier crowded shelters in the city centers were separate from the residential unit. However, today the distinction is blurred. Accordingly, urban city centers have become crowded with people from the rural to the urban sector. Thus, the only way forward is to furnish temporary housing to these homeless individuals by repurposing empty hotel rooms. For this, alteration of housing policies can help supply them with a safe and sound environment.
- Assess opportunities
Converting hotel rooms into housing is not simple. Hotels in city centers are not homogeneous. The city hotels are distinct in size, age, nature of visitors, etc. Hence, Maxwell Drever shows that management models and hotel ownership diverge. Remember that hotels exhibit various equity structures and debt.
Henceforth, property owners, management companies, and hotel brands must work together to ensure that the building codes remain intact and their businesses continue to operate.