Market price rises
«As furnished luxury apartments, the apartments can be offered at an exorbitant rental price», says Mario Stübi. This, in turn, has consequences for the general rental price level in the quarter: «If a homeowner wants to increase his rent, he can orient himself to the price of luxury apartments in this quarter. That drives up the rents for everyone», says Mario Stübi.
At Le Bijou, on the other hand, no one believes in a relation between business apartments and general rental prices: «We move in central locations where rents are relatively high and thus do not compete with the average person», says Alexander Hübner. In some cases, they would even receive requests from landlords who would be happy if Le Bijou rented their apartments for a longer period of time. «In Lucerne, for example, we took over a flat that had stood empty for almost two years», says Madeleine Fallegger.
In the city of Lucerne, business apartments make up about 0.5 percent of the housing supply. This is what the city council writes in its response to the mentioned query by Mario Stübi. The apartments are usually located in central locations.
A kind of hotspot for business apartments seems to be the Hofquartier around the Löwenplatz. In addition to Le Bijou, there are various other providers of business apartments active. The high-rise buildings on the Allmend also house several apartments for temporary business people. The prices are comparable to hotel rooms with appropriate size or amenities.
Le Bijou Sales Manager Madeleine Fallegger and CEO Alexander Hübner in a business apartment on St. Leodegar-Strasse 2 in Lucerne. | Photo: Pius Amrein (Lucerne, November 24, 2017)
Source: Luzerner Zeitung