From serviced apartments to vacation rentals: Amer’s journey to building a mature operating model

In late 2017, I entered what was then known as the “furnished apartments” sector — now referred to as serviced apartments.

What began as a small-scale family venture soon took me into unexpected territories of hardship and growth, loss and gain. It was a journey that reshaped my understanding of hospitality and business.

Starting from the Ground Up

My journey began in the field.

I was the first face guests encountered, working as a front desk receptionist. From there, I moved through every operational detail until I eventually took full responsibility for managing the apartments.

Although the experience was demanding and often difficult, it was filled with challenges, trial and error, and continuous learning. Through it all, I developed a deep passion for the industry and a strong conviction that this sector holds opportunities worth the effort and time.

The COVID-19 Crisis — A Quiet End to a Long Journey

With the escalation of the COVID-19 crisis in February 2020, the sector faced a major shock that significantly impacted operations and sustainability.

During that period, we worked tirelessly to find solutions to mitigate the consequences. We participated in remote meetings with various government entities, including Monsha’at, Delni, and the Chambers of Commerce, hoping to find a lifeline and reach practical solutions.

However, after extensive discussions, we reached an amicable exit agreement with the property owner. Thankfully, the decision was mutual and respectful.

It was an extremely difficult choice for me, as I was deeply attached to the experience and fully immersed in it. Yet, in hindsight, I realized that this divestment was the right decision at that moment.

A Return — With a Different Model

After the crisis subsided, the idea of returning to the tourism sector resurfaced — but this time with a model better aligned with my circumstances.

I was inspired by the global Airbnb model and closely followed the early development of Jathr In. With the entry of the Tourism Development Fund into the sector and Jathr In’s successful investment round involving major real estate developers, the landscape began to shift.

A clearer opportunity emerged.

The sector was becoming more structured and better positioned for growth

I began discussions with close friends about entering this evolved version of the market, even though the indicators at the time were still modest and somewhat unclear.

After research and multiple attempts, we concluded that purchasing property — rather than leasing — would be the optimal entry strategy, for two primary reasons:

1. To own a real estate asset that appreciates over time

2. To maximize returns through short-term rental operations

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After due diligence and careful consideration, we decided to purchase several units from a distinguished real estate developer.

Our choice was based on clear factors:

1. Architectural design that enhances the guest experience

2. Their participation in Jathr In’s investment round, which strengthened our confidence in the sector

3. Their strong reputation among international visitors — a crucial element in delivering a complete hospitality experience

Prioritizing Experience Before the Operating Model

After acquiring the units, we did not immediately commit to a single operating model

We experimented with annual, monthly, and daily rentals to gain practical insights and develop a mature understanding of the sector.

This phase was essential. It provided clarity on operational requirements and helped us understand what makes an experience truly complete — both from the guest’s perspective and the operator’s perspective.

My journey between serviced apartments and private hospitality taught me that this sector is full of challenges — but equally full of opportunities.

With the evolution of local platforms, government support, and increasing market maturity, private hospitality has become a space worth exploring deeply — especially for those who are passionate about the field and believe in its present and future potential.

About the Author

Amer — a Saudi host interested in raising awareness in the tourism and private hospitality sector, specializing in managing and operating real estate units, with experience spanning from 2017 to the present.