The shortlet market in Ibadan is growing fast, driven by business travelers, event visitors, and young professionals seeking flexible accommodation. Compared to traditional hotels, shortlets offer higher margins and more flexibility—making them an attractive entry point into the hospitality sector.
1. Understand the Shortlet Business Model
A shortlet is a fully furnished apartment rented on a daily or weekly basis. Your income depends on:
- Occupancy rate
- Pricing per night
- Location demand
Typical guests:
- Corporate visitors
- Couples and families
- Event attendees (weddings, conferences)
2. Choose the Right Location (Critical)
Location determines 70% of your success.
High-Demand Areas:
- Bodija – central and popular
- Akobo – residential and secure
- Jericho – premium clients
- Ring Road – high accessibility
Look for:
- Good road network
- Security
- Proximity to restaurants and businesses
3. Decide Your Entry Model
You have 3 main options:
A. Rent & Sublet (Most Common)
- Rent apartment yearly
- Convert to shortlet
- ROI depends on occupancy
B. Property Ownership
- Higher capital
- More long-term profit
C. Management Model
- Manage for owners
- Earn commission (low risk)
4. Setup & Furnishing
Your apartment must feel like a premium hotel alternative.
Essentials:
- Bed + mattress (hotel quality)
- Smart TV
- Sofa + décor
- Kitchen equipment
- Air conditioning
- Generator/inverter (VERY IMPORTANT in Nigeria)
Tip:
Design matters. A well-designed space can charge 30–50% more per night.
5. Cost Breakdown (Ibadan Estimate)
Item Estimated Cost (₦)Rent (1–2 bedroom)800,000 – 2,000,000/yearFurnishing1,500,000 – 3,000,000Power setup300,000 – 1,000,000Branding/Photos100,000 – 300,000
Total Startup: ~₦2.5M – ₦5M+
6. Pricing Strategy
- Budget shortlets: ₦20k – ₦40k/night
- Mid-range: ₦40k – ₦80k/night
- Premium: ₦80k+
Adjust for:
- Weekends (higher)
- Events (surge pricing)
7. List & Market Your Property
Visibility = bookings.
Use:
- Ajani.ai (local advantage)
- Social media (Instagram, WhatsApp)
- Google listings
Must-have:
- Professional photos
- Clear description
- Highlight amenities
8. Operations & Management
- Clean after every guest
- Provide fast customer response
- Maintain security
- Track bookings and revenue
Poor service = bad reviews = low bookings
9. Legal & Safety Considerations
- Get landlord consent (if renting)
- Ensure proper tenant agreements
- Install basic security (CCTV optional)
10. Common Mistakes to Avoid
- Bad location choice
- Poor interior design
- Ignoring power backup
- Weak marketing
- Overpricing without value
Conclusion
Starting a shortlet business in Ibadan is one of the most practical ways to enter the hospitality industry today. With the right location, setup, and marketing strategy, it can generate consistent income and scale into a full property business.
