Italy Serviced Apartment Market (2025 - 2033)

Italy Serviced Apartment Market Trends

The Italy serviced apartment market size was estimated to USD 2,112.7 million in 2024 and is projected to reach USD 7,546.2 million by 2033, growing at a CAGR of 13.3% from 2025 to 2033. The serviced apartment market in Italy is expanding rapidly, fueled by rising demand from both domestic and international travelers seeking flexible, comfortable, and well-equipped accommodation options. These properties, which combine the amenities of a hotel with the convenience of a private residence, are gaining popularity among tourists, business professionals, and long-stay guests. Major cities such as Rome, Milan, Florence, and Venice are at the forefront, benefitting from year-round tourism, cultural events, and international business activities. The growing appeal of Italy as a hub for global events and conferences is also creating a steady flow of demand for quality serviced apartments.

Changing consumer preferences are a key driver of this growth, as travelers increasingly prioritize spacious living areas, kitchen facilities, and a “home-away-from-home” feel over traditional hotel stays. The rise of remote work and digital nomadism has further strengthened the market, as these guests often seek longer-term stays with reliable connectivity and comfortable working spaces. Hospitality operators are adapting by offering tailored services, flexible booking policies, and loyalty programs to attract repeat visitors.

Sustainability is another emerging trend, with many serviced apartment providers investing in eco-friendly designs, energy-efficient systems, and responsible sourcing to align with the values of environmentally conscious travelers.

Technological advancements are also reshaping the serviced apartment experience. Operators are integrating digital tools such as mobile check-in, smart room controls, and AI-powered guest services to streamline operations and enhance personalization. The rise of online booking platforms and targeted digital marketing has widened the customer base, making serviced apartments more visible and accessible. With the convergence of increased tourism, lifestyle changes, and evolving service models, Italy’s serviced apartment sector is positioned for sustained expansion in the coming years.

Consumer Behavioral Analysis

Travelers in Italy are increasingly opting for serviced apartments due to their ability to combine hotel-style amenities with the privacy and comfort of home-like living. Business travelers and expatriates are drawn to properties located near commercial hubs, offering fully furnished interiors, kitchen facilities, high-speed internet, and flexible lease durations.

Families favor the extra space, multiple bedrooms, and the ability to maintain routines such as cooking and laundry, which is particularly valuable during longer stays. The rise of remote work and digital nomadism has also influenced demand, as many guests now prioritize accommodations with reliable connectivity, dedicated workspaces, and flexible booking terms that support extended stays or blended “workcation” travel.

Post-pandemic preferences have shifted toward private, self-contained spaces, making serviced apartments appealing as safer alternatives to traditional hotels. Guests value reduced shared touchpoints, the ability to manage their own hygiene standards, and the sense of independence these accommodations provide.

Sustainability awareness is also shaping choices, with eco-conscious travelers increasingly preferring operators who incorporate energy-efficient systems and environmentally responsible practices. In addition, digital booking platforms and targeted online marketing have increased accessibility and awareness, attracting both leisure travelers seeking immersive, local experiences and long-stay guests looking for a balance of comfort, functionality, and cultural authenticity.

Type Insights

The short-term service apartments accounted for a revenue share of 67.64% of the Italy serviced apartment market in 2024 due to strong demand from leisure travelers, business professionals on short assignments, and event-driven visitors seeking flexible and fully furnished accommodations in prime locations. These units appeal to tourists looking for more space and privacy than hotels, while still enjoying essential amenities such as kitchens, Wi-Fi, and housekeeping. In addition, Italy’s year-round tourism, boosted by cultural festivals, fashion weeks, and sporting events, drives consistent short-term occupancy. The convenience of easy booking, competitive nightly rates, and proximity to major attractions or business districts further supports their dominance in the market.

The long-term serviced apartments are expected to grow at a CAGR of 15.3% from 2025 to 2033 within the Italy serviced apartment industry, driven by increasing demand from corporate relocations, expatriates, students, and extended-stay professionals. This segment benefits from Italy’s position as a major business and cultural hub, attracting multinational companies, diplomatic staff, and academic exchange programs that require accommodation for several months or more. Long-term serviced apartments offer fully furnished living spaces with utilities, housekeeping, and maintenance included, providing a cost-effective and hassle-free alternative to traditional rental agreements.

Booking Mode Insights

Direct booking segment accounted for a revenue share of 48.68% of the Italy serviced apartment industry in 2024, highlighting the growing preference among travelers to reserve accommodations via official brand websites, mobile apps, or direct communication with property operators. This trend is supported by the desire for better pricing transparency, exclusive offers, and personalized services that are often unavailable through third-party platforms. Many serviced apartment brands in Italy have invested heavily in user-friendly booking systems, loyalty programs, and flexible cancellation policies to incentivize direct reservations.

Booking through corporate contracts is expected to grow at a CAGR of 17.5% from 2025 to 2033 within the Italy serviced apartment market, driven by the increasing reliance of companies on long-stay, fully serviced accommodation for employees on assignments, relocations, and training programs. Corporate contracts offer mutually beneficial arrangements, providing businesses with negotiated rates, guaranteed availability, and consistent service standards, while ensuring operators enjoy steady occupancy and predictable revenue streams.

End-use Insights

In 2024, corporate/business travelers accounted for a revenue share of 49.05% of the serviced apartment market in Italy, due to the growing preference for accommodations that combine the comfort of home with hotel-like services, making them ideal for extended business stays, project assignments, and corporate relocations. These travelers value proximity to business districts, reliable high-speed internet, dedicated workspaces, and flexible lease terms, which serviced apartments readily provide.

In addition, the rise in international conferences, trade fairs, and corporate events in major Italian cities such as Milan, Rome, and Turin has further fueled demand. The ability to offer cost savings for companies, especially for long-term bookings, and the appeal of privacy, security, and consistent quality standards have made serviced apartments a preferred choice for the business segment.

The expats & relocators are expected to grow at a CAGR of 16.8% from 2025 to 2033 within the Italy serviced apartment market, due to increasing global workforce mobility, cross-border assignments, and Italy’s appeal as a destination for both professional and lifestyle relocations. Serviced apartments cater well to this group by offering fully furnished, move-in-ready accommodations with flexible lease terms, eliminating the hassle of setting up a home from scratch. Expats and relocators often prioritize locations close to international schools, business hubs, and transportation links, along with amenities such as kitchens, laundry facilities, and concierge services.

The rising presence of multinational corporations, growth in foreign direct investment, and supportive relocation services in Italy further drive demand from this segment, positioning it as one of the fastest-growing in the market.

Key Italy Serviced Apartment Company Insights

The Italy serviced apartment industry combines well-established brands and emerging manufacturers. Leading companies actively respond to evolving tourism trends by innovating solutions and broadening their service portfolios to enhance comfort, durability, and sustainability. This strategic adaptation helps them maintain a competitive edge and strengthen their position in a dynamic industry.

Recent Developments

• In March 2025, Limehome is expanding in Milan with 18 new serviced apartments in the Park Towers complex near Lambro Park. Housed in a three-storey building within an innovative mixed-use development, the modern two-room units-16 with large terraces-offer functional design, enhancing the brand’s growing presence in Italy’s serviced apartment market.

• In July 2024, Ascott Limited announced a global partnership with Chelsea FC, enhancing its brand visibility and engagement through the exclusive Chelsea FC Global Hotels Partnership. This collaboration aims to leverage Chelsea FC's global appeal to promote Ascott's serviced apartments and extend its market reach. The strategic alliance will include co-branded marketing initiatives and exclusive benefits for Chelsea FC fans, reinforcing Ascott's position as a leading player in the global serviced apartment market while tapping into the extensive fanbase of one of football's most recognized clubs.

Italy Serviced Apartment Market