S ACATION

Short-term vacation rentals (“STVRs”) have obviously been around for decades, but the game-changer came with the pandemic. As parents became stay at home teachers and the options to stay in hotels dwindled, the STVR market exploded. Families chose to homeschool at the beach, rather than cooped up in their Manhattan apartments. Those who traditionally stayed in hotels for vacation were forced to try something a little different and discovered the incredible value in STVRs. To put it more simply, the pandemic changed the way Americans vacation and the profit margins for STVRs can be mind boggling. The explosion in this industry has been such that municipalities are working in earnest to try and figure out how to create occupation “certifications” in many markets. These certifications are meant to slow the growth, but more importantly, figure out a way to get some revenues out of owners. Obviously with the switch from resorts to a property owner, there is a tremendous amount of revenues lost in hospitality taxes. Literally anything can be converted into an STVR these days and just about everything is. Boats, planes, trains, and even a missile silo – if you can think of it, somebody has probably turned it into an STVR. Why not yachts? Along with traditional STVRs, term yacht charters exploded during the pandemic and have remained that way. After all, the operations are nearly identical to a traditional STVR, but it just has more maintenance – it also has a lot more profitability. With Strategic all our STVRs are available with fractional ownership, so you can have a piece of luxury without having to own all of it.