In a recent interview Taylor Johnson coordinated for client Interra Realty, the firm discussed with RE Journals how more multifamily building owners are setting aside select units to rent out through Airbnb — earning two to three times what they could with a conventional renter, and thus improving net operating income (NOI). Jon Morgan, Interra’s co-founder and principal, told the media outlet some investors are even buying whole buildings to use as short-term rentals, creating a new niche at the intersection of apartments and the hospitality industry. One example: 747 N. May St. in Chicago’s River West neighborhood, which is being brokered by Interra, features 22 rental units and is master-leased by Ginosi, an international short-term stay and hotel chain. Read more on this trend here.

Setting aside select units to rent out through Airbnb — or designating a whole building for short-term rentals, like 747 N. May St. in Chicago’s River West neighborhood (as shown above) — is a trend among multifamily investors.