Luxury short-term rentals are not a spreadsheet game. Occupancy and ADR depend on the product—layout, comfort, acoustics, daylight, and the “effortless” feeling that guests pay for. The technical side determines whether you can deliver that product on time and on budget.
ROI is shaped by 3 levers
- Acquisition quality: legal compliance and constraint profile (heritage / landscape / seismic).
- Capex intelligence: structural upgrades, systems, insulation, and finishes chosen to reduce operational headaches.
- Operational simplicity: maintenance access, durable materials, and layouts that survive heavy turnover.
What kills ROI (quietly)
The silent killers are not obvious: delayed permits, constraints discovered after purchase, hidden moisture problems, and “beautiful” design choices that are expensive to maintain.
What improves ROI (without looking like cost-cutting)
Soundproofing, efficient HVAC, robust bathrooms, smart lighting, and storage for housekeeping. Guests don’t praise these, but they convert reviews—and reviews convert revenue.
How we structure a feasibility study
- Technical due diligence (compliance + constraints).
- Concept design and high-level cost plan.
- Timeline risk mapping (permits, logistics, contractors).
- Operational design review (durability + guest experience).
If you want a real ROI conversation, we start from the building—not from averages.