Quote:
Originally Posted by birchhaven
The motels in the weirs went condo because of the amount of money the former motel owner can make selling them as Condos, it had nothing to do with people buying them to rent them as airbnb. Surely that's not what you are saying.
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People don't move from an STR like a motel, to go back to an STR in most cases.
Motels close for various reasons... retirement of the owners and no one willing to take over the business, etc. But competition plays a role, at a certain point an STR regardless of type may not be able to compete with another STR regardless of type... the market moves. Changing a property to another format is always an option; but that would be because the motel wasn't as profitable against the competition which held the profits down.
If someone would have told me three years ago that black/black windows would be the hot item in my line of work - I would laughed so hard I would need a doctor. Currently, it is rare that the customer is not looking for black/black windows. The companies that do black/black well... with the right price point... they are doing very well. Three years from now what will be the demand... I have no idea... but the same can be stated for STR, condos, or really any market segment.
As the market moves, the companies that do it best survive and prosper, those that don't... tend to die a death one way or the other.