Setting up a crash pad for airline employees. Any experience?

Rental Property Investor · Atlanta, GA · Member since 2018 · 73 posts · 18 votes

Hi, I just purchased a duplex in Hapeville. I'm rehabbing one empty side now, and wonder if anyone has had experience in using an investment property as a crash pad for airline employees. How do they work? How do you find potential tenants? Do you feel it was/is worth the extra effort? Thanks

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James Lester

Airline Pilot · Atlanta, GA · Member since 2017 · 1 post · 16 votes

As a pilot who's rented at 3 different crash pads, here's how I've seen them work. There are 2 types of pads. From a crewmember's perspective, crash pads with "hot" beds means we do not get a dedicated bed in exchange for a lower monthly rate or a per-night rate. when we show up we take any open bed. Our bedding is stored in a closet or carried in and out in our bags. the bed is not our own when we are not there. There are usually more people paying/month than there are beds, but should not be so many that the beds fill up. These work in a hot market.

The more common type of pad has each customer renting their bed for the whole month, on a month to month basis. The bed is treated as their own. No bedding is provided.

While my airline does have a list of local crash pads, it isn't updated and so it's been unhelpful in my searches in the past. Word of mouth is the most common way to find a pad, followed by company bulletin boards, and then craigslist. Company bulletin boards are not accessible to the general public.

The following is a crash course on crash pads and why we need crash pads. Usually a crash pad is an apartment or single family house with at least 3 bedrooms. Most bedrooms are outfitted with beefy bunk beds. Typically all or all but one bedroom will have 2 sets, 4 beds total. The owner may have one room outfitted with 2 regular beds which rent at a higher rate. Your market could be pilots, who make more, spend more, and will want a nicer cleaner pad, or flight attendants who are looking for more value. Some are coed, some are not. Some are pilot only, some are not. There is always a regular cleaning service that comes in (at least montly, most twice a month). They are generally next to transit. In ATL that would mean next to College park or East Point red/gold line station.

Here is why we need crash pads. home base is the airport where trips originate and terminate. Up to half of crew members do not live "in base". These crew members "commute" to their base on empty unsold seats using standby travel or riding a small fold up seat called a jump seat. Because of the unpredictability of ticket sales, they have to leave at least 2, sometimes as many as 4 or 5 flights as options to get to work on time.

When first starting, most sit "reserve", or on call, and must be at the airport within 2 hours of a call during a typical 14 hour call out period. This means they must be away from home in a position to be at work within 2 hours of a call. Commuters sitting in base on call usually hang out in a crash pad. After more time at an airline, a crew member may get enough seniority to hold a "line", or a predetermined schedule every month of flights to operate. These schedules are constructed of trips which vary in length from 1-5 days. The best trips for commuters start late the first day and end early the last day, precluding the need for a crash pad: as a result more senior crew will "bid" and be awarded these trips, leaving newer crew line holders and reservists to the early starts and late finish times. These crew will need to leave a day early to get to work and will need a crash pad several times a month.

If the economy is healthy and seniority movement is steady, you will always have turnover as crew will get seniority to bid trips which no longer require the pad. Most pads do not follow local code for short term housing. There is and will be drama when people are away from their families and friends confined to a bunk bed. On the other hand, if well run you can persevere and potentially collect more than market rent for a property.

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Eamonn McElroy
Accountant · Atlanta, GA · Member since 2015 · 1k+ posts · 1k+ votes
8y
You may be able to Airbnb it with some degree of success. Just be aware of the tax treatment of short-term rentals (average rental period of 7 days or less) vs "traditional" rentals, especially if substantial services are involved. That will affect your ROI calculation.
It might be worth a "feel out call" to airlines to see if there's a list you can get put on, or if you can assist employees in any way.
I imagine flight crew employees would find a lot of value in a short-term rental near a MARTA station on the red/gold line not too far up from the airport where they can just crash for a day or two if they're stuck in Atlanta.
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James Lester
Airline Pilot · Atlanta, GA · Member since 2017 · 1 post · 16 votes
8y
As a pilot who's rented at 3 different crash pads, here's how I've seen them work. There are 2 types of pads. From a crewmember's perspective, crash pads with "hot" beds means we do not get a dedicated bed in exchange for a lower monthly rate or a per-night rate. when we show up we take any open bed. Our bedding is stored in a closet or carried in and out in our bags. the bed is not our own when we are not there. There are usually more people paying/month than there are beds, but should not be so many that the beds fill up. These work in a hot market.
The more common type of pad has each customer renting their bed for the whole month, on a month to month basis. The bed is treated as their own. No bedding is provided.
While my airline does have a list of local crash pads, it isn't updated and so it's been unhelpful in my searches in the past. Word of mouth is the most common way to find a pad, followed by company bulletin boards, and then craigslist. Company bulletin boards are not accessible to the general public.
The following is a crash course on crash pads and why we need crash pads. Usually a crash pad is an apartment or single family house with at least 3 bedrooms. Most bedrooms are outfitted with beefy bunk beds. Typically all or all but one bedroom will have 2 sets, 4 beds total. The owner may have one room outfitted with 2 regular beds which rent at a higher rate. Your market could be pilots, who make more, spend more, and will want a nicer cleaner pad, or flight attendants who are looking for more value. Some are coed, some are not. Some are pilot only, some are not. There is always a regular cleaning service that comes in (at least montly, most twice a month). They are generally next to transit. In ATL that would mean next to College park or East Point red/gold line station.
Here is why we need crash pads. home base is the airport where trips originate and terminate. Up to half of crew members do not live "in base". These crew members "commute" to their base on empty unsold seats using standby travel or riding a small fold up seat called a jump seat. Because of the unpredictability of ticket sales, they have to leave at least 2, sometimes as many as 4 or 5 flights as options to get to work on time.
When first starting, most sit "reserve", or on call, and must be at the airport within 2 hours of a call during a typical 14 hour call out period. This means they must be away from home in a position to be at work within 2 hours of a call. Commuters sitting in base on call usually hang out in a crash pad. After more time at an airline, a crew member may get enough seniority to hold a "line", or a predetermined schedule every month of flights to operate. These schedules are constructed of trips which vary in length from 1-5 days. The best trips for commuters start late the first day and end early the last day, precluding the need for a crash pad: as a result more senior crew will "bid" and be awarded these trips, leaving newer crew line holders and reservists to the early starts and late finish times. These crew will need to leave a day early to get to work and will need a crash pad several times a month.
If the economy is healthy and seniority movement is steady, you will always have turnover as crew will get seniority to bid trips which no longer require the pad. Most pads do not follow local code for short term housing. There is and will be drama when people are away from their families and friends confined to a bunk bed. On the other hand, if well run you can persevere and potentially collect more than market rent for a property.
17 Reply
Jay HinrichsBusiness Member
Real Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
8y
its a niche product that is quite real..
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Justin PoulsenPro Member
Investor · Chicago, IL · Member since 2013 · 47 posts · 21 votes
8y
I do this in Chicago. It works really well and the cash flow can be significantly better than with traditional tenants.
A couple things to consider:
- This is a very niche business and connecting with your perspective clients can be a challenge if you don't have some kind of airline connection.
- This is not passive investing. You have constant turnover with short term rental periods. All utilities/ cleaning/ and sometimes transportation included.
There is at least 1 online listing service to help people find crashpads. Which is also useful to see what's out there and assess the demand in your area. www.crashpad411.com
If you decide to move forward best of luck to you.
4 Reply
Gail Gray
Member since 2020 · 4 posts · 2 votes
6y
I have a CrashPad at IAH that I would like to sell. Does anyone know how to find a buyer?
2 Reply
Josh F.
Wholesaler · Seattle, WA · Member since 2015 · 59 posts · 13 votes
6y
If you are interested in a crashpad near the airport in Atlanta, check out this building currently on the market zoned commercial: 3196 Dogwood Drive, Hapeville, GA 30354 ...
0 Reply
Priscilla Swantner
Flipper/Rehabber · Los Angeles CA and Clovis, NM · Member since 2019 · 35 posts · 35 votes
6y
@Gail Gray what makes you want to sell your crash pad?
0 Reply
Simone Johnson
Rental Property Investor · Atlanta, GA · Member since 2019 · 84 posts · 56 votes
6y
FYI:

I live up the street. This is not a suitable crash pad property. It wouldn’t work well and word would spread internally and then it would be vacant and you would need to find out another use for the space.

Originally posted by @Josh F.:
If you are interested in a crashpad near the airport in Atlanta, check out this building currently on the market zoned commercial: 3196 Dogwood Drive, Hapeville, GA 30354 ...

1 Reply
Gail Gray
Member since 2020 · 4 posts · 2 votes
6y
@Simone Johnson we have worked hard to set this house up on advance of a friend who was flight crew. He told us it was really needed at IAH. We worked hard the bunks are custom made and very sturdy. We wanted it to be special and better. The first 6 months we only had two people. We have had it now for 1.5 years. We had finally got to 12 people. Because we had to lower the estimated bunk rent to $220/month our break even after we had to provide weekly cleaning service and increase in utilities and increase in internet. Our breakeven was 9 bunks. So as you can see the profit margin has decreased. If the house was full it would make decent money for someone who is willing to handle the “tenant” issues. For us this was difficult. We did a remodel when we hit 10 people to change the laundry room into a 3rd full bath with shower and make the 1/2 bath a full mud room so we could have two full size washer/dryers. We added two additional refrigerators. The biggest thing we learned is that the tenants are young and not use to being on their own. Some are very entitled to not even being willing to put the trash can to the curb. This has caused us to have reduce someone rent to just drag a can to the curb. They expect us to “do” everything. We provide laundry soap, toilet paper paper towels and bottled water and weekly cleaning service. The dont clean up after their self. We had to install a camera to hold them accountable to clean up their dishes.
2 Reply
Colleen Quinn
Tampa, FL · Member since 2012 · 1 post · 2 votes
6y
Would a crash pad in Tampa be a hot market or is it more for hubs like ATL?
2 Reply
Justin PoulsenPro Member
Investor · Chicago, IL · Member since 2013 · 47 posts · 21 votes
6y
I don't think it would work well in Tampa. As far as I know the only airline with a crew base in Tampa is Allegiant. Their schedule is mostly day trips which leads to most of their crews living in their bases.
What I am saying is that you would have a very limited tenant pool and it would be hard to fill your units.
2 Reply
Paul Giorgi
New to Real Estate · Atlanta, GA · Member since 2020 · 4 posts · 1 vote
6y
Hey Simone,

I am interested in that area of Hapeville (for either a house-hack or a potential crash pad). Would it be OK if I reached out?

Originally posted by @Simone Johnson:
FYI:

I live up the street. This is not a suitable crash pad property. It wouldn’t work well and word would spread internally and then it would be vacant and you would need to find out another use for the space.

Originally posted by @Josh F.:
If you are interested in a crashpad near the airport in Atlanta, check out this building currently on the market zoned commercial: 3196 Dogwood Drive, Hapeville, GA 30354 ...

0 Reply
Antonio Lauradin
Investor · NY · Member since 2023 · 4 posts · 4 votes
3y
Quote from @Gail Gray:

I have a CrashPad at IAH that I would like to sell. Does anyone know how to find a buyer?

i got some great insight from this post. i am getting ready to launch a crash pad as well.
1 Reply
Mario Talatala
Real Estate Agent · Southlake, TX · Member since 2017 · 4 posts · 0 votes
3y
Are crash pads close to DFW airport a good idea? Not sure what the demand will be.
0 Reply
Lucia Rushton
Realtor · Dallas - Fort Worth Metroplex, TX · Member since 2016 · 1k+ posts · 925 votes
3y
Quote from @Jessica Freese:

Hi, I just purchased a duplex in Hapeville. I'm rehabbing one empty side now, and wonder if anyone has had experience in using an investment property as a crash pad for airline employees. How do they work? How do you find potential tenants? Do you feel it was/is worth the extra effort? Thanks

0 Reply
Lucia Rushton
Realtor · Dallas - Fort Worth Metroplex, TX · Member since 2016 · 1k+ posts · 925 votes
3y
Quote from @Mario Talatala:

Are crash pads close to DFW airport a good idea? Not sure what the demand will be.

@Ian Jaeger you might have some thoughts you can share.
0 Reply
Mark Bohstedt
Contractor · Missouri and Az · Member since 2023 · 27 posts · 22 votes
3y
Besides building I have an aviation business also, most airline pilots I work with stay in hotels that their airline has deals worked out with.
There certainly could be a nitch market that I haven’t heard about though.
0 Reply
Jennifer Volek
Real Estate Agent · Arlington, TX · Member since 2016 · 151 posts · 54 votes
3y
I was a flight attendant and ran a crash pad, if anyone wants to ask me questions, please message me.
3 Reply
Ana Orozco
Member since 2023 · 1 post · 1 vote
3y
Quote from @Jennifer Volek:

I was a flight attendant and ran a crash pad, if anyone wants to ask me questions, please message me.
Hello Jennifer,

i am interested in opening a CP in DFW. I was staying in hotels since I commute. What area was your CP in? Did it have public transportation available ?
1 Reply
Jennifer Volek
Real Estate Agent · Arlington, TX · Member since 2016 · 151 posts · 54 votes
3y
I did one in Vegas, my tenants had cars
0 Reply
- Kelli Drotar
  Member since 2025 · 2 posts · 0 votes
  1y
  Quote from @Jennifer Volek:
  
  I did one in Vegas, my tenants had cars
  
  Jennifer,
  I live in Las Vegas and am researching establishing a crash pad.
  Where did you advertise or did you being youre an airline worker...I am not.
  How much and how do you charge for use of the crash pad?
  Was it worth it to open your home for others to rest and refresh....and did you feel safe?
  Kelli Drotar
  0 Reply
Cindy Rod
Member since 2023 · 1 post · 0 votes
3y
I'm inquiring about opening a crash pad in orange county NY 25 minutes from stewart Airport. I have a 5 bedroom house 2 full bathroom 2 living rooms split ranch home
0 Reply
Justin PoulsenPro Member
Investor · Chicago, IL · Member since 2013 · 47 posts · 21 votes
3y
Quote from @Cindy Rod:

I'm inquiring about opening a crash pad in orange county NY 25 minutes from stewart Airport. I have a 5 bedroom house 2 full bathroom 2 living rooms split ranch home
I'm not aware of any airline bases at that airport. Pretty much a non starter.
1 Reply
Jason Wei
Member since 2023 · 1 post · 0 votes
3y
Looking into the same for Crashpad near IAD ( Dulles) which is a hub for United. Anyone have experience near there?
0 Reply

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