FOR THE WEARY business traveller, the charms of a five-star hotel can quickly grow tiresome. A new niche in the residential rental market, serviced apartments are particularly common in Hong Kong, due to the large numbers of temporary visitors. They offer the tenant a measure of privacy and the opportunity to prepare meals. Additionally, a management company ensures the tenant need not concern himself with household chores, by providing a maid service and paying all the necessary bills. Serviced apartments are usually built with one person in mind and are correspondingly small. Some, however, run to two or three-bedroom affairs of 2,000 square feet. Quality, of course, varies according to price. For a cool HK$60,000 per month you can rent a 1,772 sq ft apartment at the Convention Plaza, part of the the Hong Kong Convention and Exhibition Centre. Other top-end locations include Parkview, where you can rent a penthouse suite for HK$25,200 per week, and The Gateway in Tsim Sha Tsui. The latter development offers three-bedroom, 3,000 sq ft penthouse flats for HK$173,000 per month and one-bedroom suites for around HK$50,000 per month. More moderate rentals can be found at complexes such as the Great Eagle Hotels-owned Eaton House, based in Happy Valley and Wan Chai. Prices at Eaton House start as low as HK$9,700 per month for a ground floor 422 sq ft studio apartment. In addition to the rental, the tenant has the option to pay a monthly fee, which covers services such as a daily maid and linen and towels. Services aside, most of these apartments make a genuine effort to help the tenant feel at home. De Ricou, part of the Repulse Bay Hotel, offers superb sea views and a string of top-of-the-range facilities. From baby sitting to limousine services, it seems that no whim is left uncatered for. Prices, unsurprisingly, match the opulence. The lowest rental is HK$68,000 per month. Having become a highly competitive marketplace, serviced apartments offer a variety of facilities to entice the discerning business traveller. Parkview's sky-high rentals include an array of services. Parking, the use of the Roman Baths (which means a sauna) and the audio-visual library are just some of the facilities which are freely available. Of crucial importance is the minimum rental period available. Surprisingly enough the Convention Plaza's minimum lease is for three months, whereas Parkview's is a far more flexible one week. Most complexes specify a minimum of one month, although a fair degree of latitude is available. It is this flexibility which is one of the most attractive features of serviced apartments, particularly for corporate travel departments. Corporate discounts can often be negotiated and terms of the lease can be varied. Jessie Cheung, sales co-ordinator at Hong Kong Parkview claimed corporate clients are more numerous than individuals. Most clients are expatriates, 80 per cent of whom are from abroad, said Ms Cheung. Serviced apartments can be extremely profitable. While the absence of restaurants and room service means serviced apartments generate less revenue than hotels, the lower labour costs mean higher profit margins. The number of serviced apartments in Hong Kong is expected to rise this year, as hotel rates pick up. Graphic: rent07gwz
