Serviced apartments in Europe: The challenges behind the opportunity
Across Europe, serviced apartments have evolved from a niche segment into one of the most dynamic sectors in real estate. For corporate travellers, they offer space, comfort and flexibility. For property owners, they represent a resilient investment. Yet, as demand grows, so too does the complexity.
Every European city presents unique challenges, from housing shortages and strict regulations to the rising cost of energy and operations. Whether you’re wondering how to find apartments for rent or how to list my property for rent, success depends on understanding local dynamics and working with a trusted operator.
At Cityus, we manage and market serviced apartments across Switzerland, France and Luxembourg — providing seamless, compliant and sustainable living solutions for guests and solid performance for owners.
Geneva: strong demand in a tightly controlled market
If you’ve ever asked yourself how to find an apartment in Geneva, you’ll know it’s a genuine challenge. The Oaks Group reported a vacancy rate of just 0.46 per cent in mid-2024 — one of the lowest in Europe — while rents continue to rise as demand from international organisations and expatriate professionals shows no sign of slowing.
This shortage creates opportunity for investors but also raises barriers. Geneva’s strict housing regulations limit how residential properties can be used, meaning conversions to serviced apartments must follow local rules closely. Owners also face steep acquisition costs and lengthy approval processes.
Cityus simplifies this environment for both sides. We secure apartments to rent in Geneva that meet all local requirements and provide corporate-ready amenities. For owners, we manage everything from marketing and guest relations to cleaning and maintenance, turning compliance into confidence. Explore apartments to rent in Geneva with Cityus.
Zurich: growth, opportunity and rising scrutiny
Zurich’s story is one of expansion, tempered by regulation. According to JLL’s 2025 Zurich Serviced Apartments Market Dynamics, the number of serviced units has almost doubled in the past eight years, going from 2,760 in 2017 to nearly 5,000 in early 2025. SWI swissinfo.ch adds that overall vacancy across the city has fallen to an extraordinary 0.07 per cent, making it one of the tightest markets in Europe.
This mix of low supply and rapid growth has drawn investors, but also the attention of policymakers. Local initiatives now aim to restrict further development of serviced apartments in certain residential zones. Energy and labour costs have also surged, putting pressure on operators to maintain profitability without compromising quality.
For owners wondering how to rent out an apartment safely in Zurich, Cityus provides an end-to-end partnership. We evaluate zoning compliance, oversee fit-out, and ensure ongoing adherence to local standards. Our corporate client network keeps occupancy rates high, while our operational efficiency protects net returns. For professionals, our apartments to rent in Zurich combine all the benefits of a private flat with hotel-level service, the true definition of what a serviced apartment should be. Find furnished apartments in Zurich.
Paris and Lyon: regulation reshaping opportunity
Paris remains one of the most desirable (and complicated) property markets in Europe. With its compact layouts and limited new construction, visitors often ask why are Paris apartments so small? The answer lies in the city’s historic architecture and its determination to preserve residential character.
As Le Monde reported in its 2025 coverage of enforcement trends, Paris continues to tighten rules on short-stay rentals to protect housing stock. Meanwhile, 56Paris and Lodgify highlight the Le Meur law, which now requires all newly registered short-term rentals to achieve a DPE energy rating between A and E. These reforms are prompting a shift from transient tourism to mid-term corporate stays, a segment where serviced apartments excel.
Cityus anticipated this evolution early. We focus on apartments to rent in Paris and Lyon that comply fully with municipal requirements, while offering comfort for business travellers, families or digital nomads. For tenants searching how to rent a flat in Paris, our platform offers transparent pricing and local support. For owners exploring how to list my property for rent, we handle registration, energy compliance and guest services, transforming potential regulatory headaches into consistent revenue. Browse apartments to rent in Paris and Lyon.
Luxembourg: a small market with significant promise
Luxembourg presents another side of the story. Despite its high incomes and thriving EU presence, the Housing Europe 2025 report reveals a persistent shortage of new housing. The Luxembourg Times and recent government statements underline growing policy efforts to improve affordability, but construction has not kept pace with demand from financial and institutional sectors.
For investors, the result is a market where well-managed, compliant serviced apartments can deliver stable, long-term returns. For global companies, the challenge is finding quality housing for relocating staff.
Cityus offers apartments to rent in Luxembourg located near business districts and European institutions. Our apartments are fully furnished — answering the question, what do furnished apartments come with? — including all essentials such as kitchenware, linen, high-speed Wi-Fi and workspace. Each one is maintained by our local team and ready for immediate occupancy. For owners, we ensure sustainable upkeep and steady corporate tenancy. See serviced apartments in Luxembourg.
European trends shaping the sector
Across Europe, the serviced-apartment sector faces shared pressures. HVS’s Serviced Apartment Sector in Europe 2024/2025 notes that energy and labour inflation continue to raise operational costs. Supply-chain delays make refurbishments slower and more expensive. And demand patterns are changing: traditional long-term assignments are giving way to shorter, more flexible projects.
Operators must balance efficiency with hospitality, while investors must plan for regulatory uncertainty. In cities like Geneva and Zurich, housing scarcity pushes yields up but tightens oversight; in France, compliance defines credibility; and in Luxembourg, limited supply creates both opportunity and responsibility.
Cityus addresses these challenges holistically. We blend digital systems for pricing and reporting with human service on the ground, ensuring each apartment remains compliant, comfortable and commercially sound.
Why professional management matters
For owners entering the serviced-apartment market, professional management is no longer optional. Managing cleaning, bookings, maintenance and guest experience individually is complex — and legal compliance adds another layer. Partnering with Cityus ensures that these elements run smoothly.
Our teams in Switzerland, France and Luxembourg handle every stage, from preparing your flat for rental to managing bookings, utilities and guest communication. If you’ve been wondering how to list my property for rent or how to rent out an apartment without the hassle, we offer the complete solution.
For tenants and relocation managers, we make finding and enjoying a home abroad simple. If you’ve ever asked what is relocation assistance, it’s exactly what we do: help professionals and families move seamlessly into a new city. Whether you need apartments to rent in Geneva, Zurich, Paris, Lyon or Luxembourg, our platform lets you compare verified, fully serviced homes and book confidently.
The road ahead
Looking towards 2026, HVS forecasts that serviced apartments will remain one of Europe’s most resilient real-estate classes. Geneva, Zurich and Luxembourg will continue to benefit from corporate relocation and long-stay professionals, while Paris and Lyon will see growth in mid-term, sustainable models.
For property owners, the priority is to balance returns with regulatory and environmental responsibility. For corporates, it’s about partnering with an operator that offers reliability and flexibility in equal measure.
Cityus brings these objectives together — offering fully furnished, compliant apartments to rent in Europe’s key cities, and professional management that makes property ownership effortless. Whether you’re searching for a place to live or a partner to manage your investment, Cityus is your trusted guide to flexible, sustainable urban living.
Sources (accessed October 2025)
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HVS – The Serviced Apartment Sector in Europe 2024 → https://www.hvs.com/article/9970-the-serviced-apartment-sector-in-europe-2024 hvs.com
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HVS – The Serviced Apartment Sector in Europe 2025 → https://www.hvs.com/article/10228-the-serviced-apartment-sector-in-europe-2025 hvs.com
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SWI swissinfo.ch – Zurich: Welcome to the world capital of housing shortages! (Apr 21 2025) → https://www.swissinfo.ch/eng/demographics/zurich-how-the-world-capital-of-housing-shortages-is-tackling-the-problem/89173120 SWI swissinfo.ch+1
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56Paris – Paris Short-Term Rental Regulations: Updates on the Le Meur Law (Feb 6 2025) → https://56paris.com/en/paris-short-term-rental-regulations-updates-on-the-le-meur-law 56paris.com
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Le Monde – “The end of the golden age for Airbnb-style rentals in certain French cities” (Apr 30 2025) → https://www.lemonde.fr/en/france/article/2025/04/30/the-end-of-the-golden-age-for-airbnb-rentals-in-certain-french-cities_6740758_7.html Le Monde.fr
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Housing Europe – The State of Housing in the EU 2025 (Luxembourg section) → https://www.housingeurope.eu/wp-content/uploads/2025/10/luxembourg_the_state_of_housing_in_the_eu_2025_digital.pdf