Hostmaker, the UK-based short-term rental operator, has officially opened up shop in Dubai, making a major play for one of the fastest growing cities in the industry, as reported by Gulf News.
Dubai’s short-term-rental market is booming, with reports indicating that up to four out of every ten new homes get listed for short stays or for vacation rentals.
Previously, Airbnb had been the sole global operator in the region, though Hostmaker falls short of giving them credit for the massive surge in STRs in Dubai.
“The homestay rentals market is not something that was created by Airbnb,” Nakul Sharma, founder and CEO of Hostmaker, said. “This has existed previously as well. However, the opportunity of professionalizing the category for homeowners and guests is the strength we see in our business.”
Hostmaker’s immediate plans include building up partnerships with local developers, with these developers letting Hostmaker clients use their properties for short stays.
“Our expertise in yield management and hospitality technology is something we have built over the past five years,” said Sharma. “We can partner with developers in Dubai where they are bringing the inventory. So, we bring the operational expertise, they can bring the supply.”
Hostmaker will not only have Airbnb to contend with. A slew of Dubai-based businesses have sprung up in recent years, all vying for their share of the short term rental pie.
“There are more properties coming to the market… every day,” said Vinayak Mahtani, CEO of bnbme. “We have grown by four times over the last year and expect to continue the growth.”
Dubai has experienced quick growth in the short term rental space, with over 11,000 active listings, up from 4,000 in 2016, according to vacation rental tracker AirDNA. This trend will only continue to increase, with Dubai set to host the World Expo in 2020.