cxzGlobal Trends in Short-Term Residential & Recreational Properties (STRRP)

• Growth Driver: Surging demand for experiential travel, remote work flexibility ("workations"), and niche stays (eco-lodges, luxury villas).
• Performance:

2021-2022: Explosive growth (+30-50% YoY revenue in hotspots) post-pandemic.
2023-2024: Normalization; increased regulation and competition slowed growth to ~5-10% YoY in mature markets.
Key Risks: Regulatory crackdowns, oversupply in popular areas, economic sensitivity (discretionary spending).

Russian Market (Post-2022)

• Domestic Shift: Collapse of inbound tourism from foreign countries, replaced by domestic demand (+25% YoY 2022-2023).
• Key Destinations: Crimea, Krasnodar (Sochi), Altai, and Lake Baikal saw +15-20% YoY RUB revenue (2023).
• Challenges:

Payment system restrictions (Visa/Mastercard exit).
Reduced quality of international platforms (Airbnb suspended) but growing of local platforms.
Rising operational costs (imported supplies, sanctions).

Saint Petersburg Market

• Tourism Collapse: Foreign arrivals down >90% since 2022.
• Domestic Pivot: Focus on "staycations" and regional tourists. Luxury STR occupancy fell 40-50% (replaced by mid-tier).
• Recreation: Soviet-era sanatoriums repurposed; local dacha rentals stable.
• Outlook: Highly volatile. Dependent on domestic disposable income and geopolitical stability.

Asset Class Comparison vs. Other Alternatives

Key Russian/St. Petersburg Nuances:

• STRRP Pros:

RUB revenue benefits from domestic tourism pivot.
Low entry cost (repurposed apartments/dachas).

• STRRP Cons:

Sanctions cripple scalability: No global platforms, payment barriers, visa restrictions.
Policy risk: Sudden regulation changes.
Demand fragility: Tied to volatile RUB and disposable income.
St. Petersburg: Former tourist hub now reliant on budget-conscious domestic travelers. Luxury segment struggles.

Conclusion
STRRP offers high yield potential but with extreme volatility and operational/regulatory burdens. In Russia, it survives via domestic demand but is handicapped by sanctions and policy shifts. Only suitable for hands-on investors with local expertise and risk capacity.
DMA INVEST knows the potential of STRRP and operate locally in Saint-Petersburg.