Case Study: Inventory Threat Analysis

This is an analysis conducted in July 2016 of four major-chain hotels from various parts of the country in which we assess their threat to exposure from the local vacation rental market. For each property, we have indicated whether we believe its local market share is stable, under medium-term threat, or under immediate threat.

The labels are defined as follows:

  • Stable: Hotels with little to no threat of vacation rental supply impact in next 5 years
  • Medium-Term Threat: Hotels with near-future impact of growing vacation rental supply
  • Immediate Threat: These properties are already affected by vacation rental supply overload

Among other figures, we provide property counts, average prices, and year-over-year growth rates for competing vacation rentals near the hotels within various distances.


Staybridge Suites Indianapolis
  • Location: City Centre, Indianapolis, IN
  • Status: Stable
  • Number of Rooms: 113
  • Average Price: $133
  • Vacation Rental/Hotel Price Ratio: 127%
  • Close Share: 90% Medium Share: 15% Wide Share: 10%
  • Rent/Own: 50%
  • Rental Headroom: 500
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Number Average Price
Distance ½ mi. 5 mi. 10 mi. ½ mi. 5 mi. 10 mi.
Competing Vacation Rentals 11 716 1,165 $170 $393 $371
Instant Book Vacation Rentals 0 178 299 - $331 $348
Growth Rate 175% 200% 230% - - -
Owner Occupied Units 83 42,656 169,440 - - -
Renter Occupied Units 657 49,031 132,952 - - -
Homewood Suites Seattle Convention Center
  • Location: Pike Street, Seattle, WA
  • Status: Immediate Threat
  • Number of Rooms: 195
  • Average Price: $220
  • Vacation Rental/Hotel Price Ratio: 92%
  • Close Share: 25% Medium Share: 4% Wide Share: 2%
  • Rent/Own: 70%
  • Rental Headroom: 1000
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Number Average Price
Distance ½ mi. 5 mi. 10 mi. ½ mi. 5 mi. 10 mi.
Competing Vacation Rentals 463 5,271 7,265 $202 $171 $163
Instant Book Vacation Rentals 172 1,227 1,682 $237 $180 $160
Growth Rate 50% 68% 70% - - -
Owner Occupied Units 1,823 76,713 223,245 - - -
Renter Occupied Units 9,847 105,145 203,512 - - -
Candlewood Suites Austin
  • Location: Arboreturm-Northwest, Austin, TX
  • Status: Medium Term Threat
  • Number of Rooms: 125
  • Average Price: $96
  • Vacation Rental/Hotel Price Ratio: 104%
  • Close Share: 97% Medium Share: 10% Wide Share: 3%
  • Rent/Own: 65%
  • Rental Headroom: 650
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Number Average Price
Distance ½ mi. 5 mi. 10 mi. ½ mi. 5 mi. 10 mi.
Competing Vacation Rentals 3 1,084 7,180 $100 $220 $380
Instant Book Vacation Rentals 0 149 941 - $184 $329
Growth Rate 0% 47% 35% - - -
Owner Occupied Units 52 47,999 144,794 - - -
Renter Occupied Units 660 65,352 149,756 - - -
Residence Inn Downtown Portsmouth
  • Location: Downtown/Waterfront, Portsmouth, NH
  • Status: Stable
  • Number of Rooms: 128
  • Average Price: $229
  • Vacation Rental/Hotel Price Ratio: 95%
  • Close Share: 80% Medium Share: 40% Wide Share: 18%
  • Rent/Own: 65%
  • Rental Headroom: 65
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Number Average Price
Distance ½ mi. 5 mi. 10 mi. ½ mi. 5 mi. 10 mi.
Competing Vacation Rentals 26 191 611 $223 $208 $226
Instant Book Vacation Rentals 1 21 94 $160 $130 $145
Growth Rate 44% 41% 24% - - -
Owner Occupied Units 607 9,946 29,614 - - -
Renter Occupied Units 761 6,482 15,069 - - -