Eight pop-up hotels were operating in 2020 in Edinburgh, this figure has risen to 17 currently trading in the city during the summer period and 32% of these properties have opened within the last year1.

ALTIDO, one of Europe’s largest property management companies and part of the DoveVivo Group, carried out the research and views pop-up hotels as one of the largest growth areas in hospitality within UK cities. Demand for pop-up hotels is growing, with ALTIDO seeing a 215% increase in nightly rates since 2020 and a strong average occupancy rate of 87% to date in 2023.

The company has more than doubled its pop-up hotel presence in Edinburgh this year, offering more than 83,000 nights to visitors. It currently operates Vita Edinburgh (Vita Student Fountainbridge), ALTIDO Affordable Haddington Place, ALTIDO Affordable Capitol Students, ALTIDO Affordable Kincaids Court and ALTIDO Affordable Robertson Close.

The rise of pop-up hotels in Purpose-Built Student Accommodation (PBSA) buildings in city centre locations such as Edinburgh is indicative of the ongoing evolution and merging of the hospitality sectors. Lines between these sectors are becoming increasingly blurred as accommodation operators of various kinds lean towards the short-term rental (STR) concept to maximise occupancy.

Student accommodation would historically have been empty during the holidays but this adaptable hospitality approach uses existing, empty accommodation to provide a solution that can help meet peak demand in undersupplied city hotspots. Operated as short-term seasonal hotels, these premier PBSA buildings are transformed to offer guests alternative, affordable and convenient lodging.

The inherent flexibility of the room stock also answers the needs of a diverse range of travellers: everyone from individuals and couples who want to take advantage of low-cost rooms for city breaks in top locations, to young families and groups of friends who want hotel amenities but will also benefit from the PBSA communal spaces (games rooms, cinemas, gyms, etc).

Francesco Morgante, head of distribution at ALTIDO, said: “The figures speak for themselves in terms of the opportunities that pop-up hotels present in city centre locations. Not so long ago, these assets routinely stood empty because of the difficulty in temporarily pivoting from one type of guest to another. This year, ALTIDO has more than doubled its collection of pop-up hotels, offering over 83,000 room nights, to build on this hugely successful revenue stream.”