The short-let apartment industry in Nigeria has grown rapidly over the past few years. Many property owners and entrepreneurs are now exploring short-term rentals as a way to generate steady income.
With increasing travel, business trips, and tourism in cities like Lagos and Abuja, short-let apartments have become a profitable business opportunity.
But how much does it actually cost to start?
Let’s break down the typical expenses involved.
1️⃣ Property Acquisition or Rent
The biggest cost when starting a short-let business is the property itself.
You can either:
Buy a property
Rent an apartment and operate it as a short-let
Rental prices vary depending on location. For example, apartments in areas like:
Lekki
Victoria Island
Maitama
These places are typically more expensive but also attract higher-paying guests.
Estimated cost range:
₦1.5M – ₦8M+ per year depending on location and property size.
2️⃣ Interior Furnishing and Setup
To attract guests, the apartment must be well furnished and comfortable. Typical furnishing costs include:
Beds and mattresses
Sofas and tables
Television and appliances
Kitchen equipment
Curtains and décor
Estimated setup cost:
₦1M – ₦4M depending on the apartment size and quality of furniture.
3️⃣ Utilities and Power Backup
Reliable utilities are essential for guest comfort. This may include:
Generator or inverter
Fuel or electricity costs
Internet subscription
Water supply
Estimated setup cost:
₦200K – ₦1M+
4️⃣ Professional Photography
High-quality photos are extremely important for attracting bookings. Professional photography helps your listing look:
More attractive
More trustworthy
More competitive
Estimated cost:
₦30K – ₦100K
5️⃣ Listing and Marketing
Once the apartment is ready, it needs to be listed on booking platforms. Platforms like akoma.africa allow hosts to showcase their apartments to travelers searching for comfortable short-term accommodation.
Marketing may also include:
Social media promotion
Digital advertising
Listing optimization
Estimated Total Startup Cost
Depending on location and apartment size, starting a short-let business in Nigeria may cost approximately:
₦3M – ₦12M or more.
This investment can generate steady income if the apartment maintains good occupancy rates and positive guest reviews.
Why Many Investors Choose Short-Let Apartments
Compared to traditional long-term rentals, short-let apartments can offer:
Higher nightly rates
Flexible pricing
Higher income potential
Faster return on investment
Cities like Lagos and Abuja continue to see strong demand from:
Business travelers
Expatriates
Tourists
Digital nomads
Final Thoughts
Starting a short-let business in Nigeria requires planning and initial investment, but the opportunity for steady income is significant.
By choosing the right location, furnishing the apartment well, and listing on trusted platforms like akoma.africa, investors can build a profitable short-term rental business.
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