Thursday, November 19th, 2020 November19th2020

Sell for More Trivia: What is Hybrid Hospitality?

Published on November 19th, 2020

Sell for More Trivia is a weekly blog series that playfully presents a trivia question about commercial real estate.


Put simply, Hybrid Hospitality means offering office spaces within hotels.

Many operators are already committing to the hybrid hospitality model including Zoku, Accor, Ace Hotels, citizenM and Kerten Hospitality. They all focus on the mix of work and overnight stays and have had success over the last few years.

We expect many more hotels to mix these functions in the future

Hotels creating a place not only to sleep and eat but also to rent out space to meet, collaborate, socialize and work is a key way that underperforming areas within the building can be optimized from a revenue and income perspective.

More need for flexibility

During economically uncertain times, companies have had to become more flexible.  Flexible workspace providers responded with shorter term leases.

Office for just one day

The business model of flexible workspace providers is to rent out their spaces for five days a week. Leasing space for only one or two days is financially less attractive for these types of companies and is therefore rare in practice.

More organizations will switch to working from home in the future, supplemented with an office for a few days, or a smaller office, with flexible workplaces elsewhere. Hotels can fill this requirement.

What should a hybrid hospitality property look like?

Enticing shared workplaces, meeting rooms and co-working spaces are required. Some of the hotel rooms may also be made suitable for working, with the bed concealed, so that you can receive visitors.

This is about offering day-to-day flexibility for renting workplaces, a hospitality first experience with personal and high-quality service.

Better connection with the local community

A hybrid hotel offers companies an additional flexible workspace option for their employees without long-term lease obligations or big investments that are required for a large office commitment. This can reduce property costs for companies, as long as this ad-hoc space is only used on a flexible basis, for example in addition to working from home.

With this mixed-use function, the hotel will become better connected to the city and the neighborhood. Instead of just serving tourists and business travelers, it will really become part of the local community.


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About Beau Beach, MBA CCIM

Beau is a tenacious Commercial Real Estate Broker, author and adoring father of four. His clients appreciate his no-nonsense demeanor and his legendary work ethic.

Beau leads Beachwood which is a commercial real estate broker for sellers in the Nashville, Milwaukee and South Florida markets.

He’s the author of the books The 3 Reasons: Why Most Commercial Properties Don’t Sell and True Wealth: What Every Seller Should Know About 1031 Exchanges.

Beau can be reached at 800-721-3287, click to schedule a call or