How Design Can Make Your STR Earn $250k in Year 1, A Case Study

How Design Can Make Your STR Earn $250k in Year 1, A Case Study

Investor · West Palm Beach, FL · Member since 2024 · 90 posts · 47 votes

Ever wondered how to turn your short-term rental (STR) into a revenue-generating machine? Here is a solid case study where one property achieved $242k in revenue in its first year through the art of smart design and strategic amenities.

What Made This Home a Standout Success? Revenue-driving amenities.

--> Crowd Pleasing Standout Outdoor Amenities

🏀 Sports Court - Pickleball & Basketball
⛳️ Putting Green
🔥 Fire Pits
🔹 Hot Tub
👨‍👩‍👧‍👦 Multiple Seating Areas
🏓 Corn Hole & Ping Pong
💧 Heated Pool
🍔 Built-in Grill
🖼️ Outdoor Mural

--> Crowd Pleasing Indoor Amenities & Design
🔹 Blockbuster Movie Themed Bedrooms & Design Carried Throughout the House
🔹 Converted Garage Space Into a Pool Table Game Room
🔹 Poker Room
🔹 Themed Mural

Key Takeaways to Drive Revenue for Your STR

🔸Know Your Guest or Avatar and Design for That: Don't be afraid to go all-in on a theme that resonates with your target audience. Consider theming your property based on popular attractions in the area, aligning with what guests are doing when they vacation.

🔸Maximize Outdoor Space: If you have a large backyard, fill it with revenue-driving amenities like the ones in this home.

🔸Maximize Indoor Space: Don't have an expansive backyard? Make the most of your indoor space by creating themed bedrooms, including standout amenities like slides and murals. Convert a garage into a movie theatre or game room to maximize entertainment options.

🔸Do Your Homework: Research what amenities are popular in your area and ensure your property offers them, and then add more!

🔸Comfort and Seating: Provide multiple seating areas throughout your property to encourage socializing and relaxation, enhancing the overall guest experience.


The short-term rental landscape has evolved. The highest-performing STRs now create amazing experiences through their design, making the property itself a key part of the vacation! 

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Investor · VA AZ, SC · Member since 2017 · 172 posts · 172 votes
2y

Key question is the ROÍ on the investment. If this property were to make $225k without the additions based on its size and location, would it be worth it given the capital cost?


It is a very well designed and executed theme!

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  • Investor · VA AZ, SC · Member since 2017 · 172 posts · 172 votes
    2y

    Key question is the ROÍ on the investment. If this property were to make $225k without the additions based on its size and location, would it be worth it given the capital cost?


    It is a very well designed and executed theme!

  • Investor · West Palm Beach, FL · Member since 2024 · 90 posts · 47 votes
    2y
    Quote from @Ian Tyndall:

    Key question is the ROÍ on the investment. If this property were to make $225k without the additions based on its size and location, would it be worth it given the capital cost?


    It is a very well designed and executed theme!


    I personally love the Step Brothers themed bunk bed room! 

    This property would be projected to make roughly $140-150k if you were to use average market comps. 

  • John UnderwoodPro Member
    Investor · Greer, SC · Member since 2014 · 13k+ posts · 17k+ votes
    2y

    How much did the pickle ball court cost to install? How much is it used?

  • Investor · West Palm Beach, FL · Member since 2024 · 90 posts · 47 votes
    2y
    Quote from @John Underwood:

    How much did the pickle ball court cost to install? How much is it used?


    Roughly 20-25k to install. They are used unsurprisingly a lot - pickleball is all the buzz lately! The listing reviews mention pickleball a lot and how it was a hit. 

  • Michael BaumPro Member
    Olympia, WA · Member since 2016 · 8k+ posts · 7k+ votes
    2y

    I think the advice is solid, but it really is location driven more than anything.

    Judging by the terrain, it is in SoCal or maybe AZ?

    You might drop that exact place into another area and not see anywhere near the 242k in revenue.

  • Investor · West Palm Beach, FL · Member since 2024 · 90 posts · 47 votes
    2y
    Quote from @Michael Baum:

    I think the advice is solid, but it really is location driven more than anything.

    Judging by the terrain, it is in SoCal or maybe AZ?

    You might drop that exact place into another area and not see anywhere near the 242k in revenue.

     Yep, absolutely agree! Design and amenities should be based on market and guest demographic. We personally have designed and renovated over 300 homes and they don't all look like this - we design for the data. But I will say, a lot of the top performers have stand out amenities like this. 

    This one is in AZ. 

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