The Chief Executive Officer of Dee One Luxury Apartment, Adedayo Adewumi, talks about the challenges of the short-let services sector, proffering the way forward, in this interview with ANOZIE EGOLE
What is your long-term vision for the short-let industry in Nigeria, and how does the sector plan to contribute to the nation’s economy?
Our long-term vision at Dee One Luxury Apartment is to position Nigeria as the premier destination for flexible, high-quality, and customer-centric short-term accommodation in Africa. The short-let industry has the potential to become a pillar of Nigeria’s tourism and real estate sectors, much like what Airbnb has achieved in Europe and North America. We envision an ecosystem where local and foreign travellers, whether for business, leisure, or medical tourism, can seamlessly access safe, comfortable, and well-serviced apartments across Nigeria’s key cities.
As a short-let apartment operator, we plan to contribute to Nigeria’s economy by creating jobs and supporting local businesses. We will employ property managers, cleaners, security staff, and customer service agents, giving young people steady work in a city like Lagos. We will also work with electricians, plumbers, furniture makers, and laundry services, helping them grow their businesses. Our apartment is aimed at attracting tourists and business travellers and ensuring their comfort and security at all times. These visitors will spend money in restaurants, malls, and entertainment spots, helping the hospitality and retail sectors grow. We will also support local manufacturers by buying Nigerian-made furniture, home décor, and appliances, reducing dependence on imported goods. All our bookings and payments will be cashless, encouraging digital payments and supporting Nigeria’s cashless policy. Finally, we will pay taxes and necessary payments to the government, contributing to government revenue that funds roads, power, and schools. Over time, we plan to expand, creating more jobs, supporting local tourism, and helping to build a strong, self-sustaining economy beyond oil. Our operation will help drive growth in real estate, tourism, digital payments, and job creation.
How much would you say the sector has contributed to the economy?
While exact data is still emerging, conservative estimates suggest that the Nigerian short-let sector contributes billions of naira annually to the economy. In Lagos alone, the proliferation of short-let apartments has boosted the real estate rental market and supported a vibrant hospitality sub-sector. Informally, it has created thousands of jobs, especially among the youth. Beyond direct rentals, guests staying in short-let apartments spend on food delivery, transport (like ride-hailing services), local attractions, and retail, creating a multiplier effect. If we benchmark against global trends, short-let apartments can contribute 0.5 per cent to one per cent of the national gross domestic product in thriving markets. Nigeria, with its growing urban population and diaspora ties, is poised to reach or exceed that threshold in the next few years.
How do you define success for your sector in a market as dynamic and unpredictable as Nigeria’s real estate and hospitality sectors?
Success in Nigeria’s dynamic market means sustainability, adaptability, and consistent service delivery despite external volatility. For us, success is defined by several factors, which include high occupancy rates across varying economic seasons, strong customer retention and repeat bookings, operational profitability even during inflationary periods, positive guest feedback, and strong digital reputation, and strategic partnerships with fintech, logistics, and real estate platforms, among others. In essence, success is surviving and thriving despite challenges like power outages, fluctuating Forex rates, and inconsistent regulations. The brands that continue to innovate while maintaining guest satisfaction will define the sector’s success story.
What are the biggest leadership lessons you have learnt scaling a short-let business in Nigeria?
One major leadership lesson is resilience. Nigeria’s business environment demands mental toughness and constant problem-solving. Additionally, I have learnt that building strong teams is critical; no leader can scale alone. You need competent operations staff and responsive customer service teams. Another key lesson is agility. Trends change quickly, and what worked last quarter might not resonate today. We have had to pivot our marketing strategies, introduce flexible pricing, and adjust our property offerings in response to customer feedback and market dynamics. Lastly, transparency and ethical business practices are crucial. In a sector sometimes viewed with scepticism, consistently delivering what you promise builds lasting trust.
How do you identify and respond to the evolving preferences of guests, particularly regarding luxury, affordability, and safety?
We rely on direct customer feedback, market surveys, and performance analytics from our booking platforms. Preferences can differ widely between local corporate travellers, diaspora Nigerians, and international tourists. For luxury seekers, we prioritise modern interiors, in-apartment amenities like Netflix and high-speed Wi-Fi, and seamless check-in experiences without compromising cleanliness and security. We also have a swimming pool, well maintained at all times, with a free grill for lodgers and guests to grill their fish, meat, and other food items of their choice. Safety has become a non-negotiable concern, especially in Nigeria. We work closely with vetted security firms, install smart locks and closed-circuit television systems, and regularly audit our safety protocols. Being responsive means updating property features and refining service standards.
What strategies have been most effective in attracting both local and international clients to the sector?
Digital marketing has been the bedrock of our outreach. We leverage platforms, nice platforms, and our own branded website while optimising for search engine visibility. Social media storytelling, influencer partnerships, and paid digital adverts have been crucial for building our brand awareness. For the international market, we target Nigerian diasporans visiting for weddings, holidays, or business. We offer flexible check-in times, curated local guides, and seamless payment in foreign currencies. Partnerships with travel agencies and corporate relocation services have also driven international bookings. Locally, we engage with agents, and word-of-mouth referrals remain a powerful channel for us.
How do you differentiate your properties from competitors in Nigeria?
Differentiation is about experience, not just aesthetics. Our approach includes high-touch customer support that resolves issues quickly, day or night. Modern and consistent furnishings across our property portfolio and flexible booking and cancellation policies that prioritise guest convenience. We also offer airport pick-up service and escort sourcing for high-profile clients. Our goal is to create memorable stays, not just provide spaces to sleep.
What operational challenges are peculiar to running short-let apartments in Nigeria, and how are you overcoming them?
Some of the biggest challenges include unstable electricity supply. We have invested in backup generators, solar inverters, and seamless power-switching systems. Water supply inconsistencies. We have also invested in boreholes and water treatment solutions to ensure our guests never run out of clean water. On security, we partner with top security companies and deploy access control systems in our properties. We run preventative maintenance schedules and have on-call technicians for emergency repairs.
How do government policies, local housing regulations, or informal sector dynamics impact your business operations?
We are affected by some government policies, taxes, property laws, compliance requirements, and infrastructure quality regulations, all influencing our costs. We pay assessment fees, building control agency fees, town planning fees, insurance, material testing fees, and local government fees, among others. Also, local housing regulations like zoning laws, building codes, safety standards, and licensing requirements can limit where and how you operate and affect guest experience. For the informal sector dynamics, complex land ownership, reliance on local brokers and agents, cash transactions, community relations, and informal security influence property access, costs, and day-to-day operations.
To what extent is technology integrated into short-let operations, and what are your plans for further innovation?
Technology underpins our entire operation. We use property management systems to track bookings, manage payments, and coordinate housekeeping. Smart locks allow contactless check-ins and check-outs, enhancing guest convenience and security. In the future, we plan to ensure dynamic pricing algorithms to optimise rates based on demand. We are also going to invest in artificial intelligence-powered guest communication tools for instant responses to enquiries. Data analytics for predicting market trends and optimising property acquisition, and blockchain-backed booking platforms to enhance payment transparency. Nigeria’s fintech ecosystem presents opportunities for seamless payment solutions, including crypto and cross-border transactions, which we’re exploring.
How do you ensure consistent quality and maintenance standards across all your properties, especially in cities with unreliable infrastructure?
We maintain strict service level agreements with cleaning and maintenance partners. Each property undergoes weekly inspections, and we enforce quality checklists before every guest check-in. Infrastructure issues are addressed proactively. Power backups, water filtration systems, and internet redundancy plans are built into our operational standards. Staff members are empowered to resolve issues locally while staying aligned with our brand-wide quality benchmarks. Our guest feedback loop ensures that no complaint is ignored. We follow up on every review and use insights to refine our processes.
What strategies are you using to manage financial risks such as currency volatility and inflation?
We price some of our listings in dollars to hedge against naira volatility. Our business also maintains Forex accounts to absorb fluctuations in currency conversion rates. We also keep our operational cost structure flexible and lean, scaling staff and expenses according to demand patterns.
What is your investment strategy for expansion? Do you own properties, lease them, or use other models like franchise or property management?
We own our properties; we buy and build solely for short-let purposes. This has given us a competitive edge in terms of our architectural structure, interior design, and also the cost of giving out our apartments. No rental pressure; hence, we are flexible and can accommodate huge discounts for lodgers who are doing long stays at our facilities. Our investment strategy for expansion in the near future will involve a combination of ownership and leasing, depending on the location and market conditions, to grow the business efficiently while maintaining quality and flexibility in operations.
How do you build and maintain a strong service culture among your staff members, especially those who interact directly with guests?
We invest heavily in staff training, emphasising empathy, communication skills, and proactive problem-solving. Our induction programmes teach team members to anticipate guest needs and resolve issues without escalation. Regular performance reviews, customer feedback sessions, and reward systems keep the team motivated. We also maintain an open-door leadership style, where frontline staff feel heard and empowered to share their ideas. Ultimately, our culture is built on the belief that if we treat our staff well, they will, in turn, treat our guests exceptionally.
What qualities do you look for when hiring key leadership or operations personnel for your team?
We prioritise emotional intelligence, adaptability, and results orientation. Leaders in our business must be calm under pressure, creative problem-solvers, and skilled in people management. Given the fast-paced nature of the short-let sector, we also seek individuals with strong tech literacy, as well as prior hospitality or real estate experience. Cultural fit is critical. We hire people who embody our core values of integrity, excellence, and customer obsession.
Where do you see the biggest opportunities for innovation or disruption in the Nigerian short-let market over the next five years?
The Nigerian short-let market is still relatively young and growing rapidly, especially in urban centres like Lagos, Abuja, and Port Harcourt, and even up-and-coming areas like Ibadan, Enugu, and Uyo. Over the next five years, there would be significant opportunities for innovation and disruption in the following key areas. Tech-enabled booking and automation platforms because most bookings are still handled manually via social media platforms or phone calls. There is a big gap for locally tailored platforms focused on trust, payment flexibility, and mobile-first UX; smart property management tools (channel management, automated check-in, and pricing algorithms); and end-to-end solutions for operators’ booking, housekeeping scheduling, inventory, and guest communication, among others. The Nigerian short-let space is ripe for professionalisation, consolidation, and tech infusion. If you can combine operational excellence with trust-building, guest experience, and smart tech, you can scale in a market with low formal competition but growing demand. In summary, with the right investments in technology, infrastructure, and people, we can build a world-class industry that rivals global benchmarks.
