01 · MEXICO · PROPERTY CASE STUDY

Roma Sur, Mexico City

An investment studio in Mexico City's Roma Sur neighbourhood, managed by Guesthouse to improve booking performance, strengthen revenue consistency, and simplify the owner's day-to-day responsibilities.

02 · KEY RESULTS

The Results at a Glance

+41%

Average Monthly Revenue Growth

MXN $23.9k

Average Monthly Gross Revenue

MXN $28.8k

Highest Monthly Revenue

5 months

Management Period

03 · THE STORY

Client Background

Our client owned a studio apartment in Roma Sur, Mexico City. The property was an investment, but it wasn’t reaching its full potential. She was overwhelmed by managing everything herself and trying to consistently increase earnings. She sought Guesthouse Management to unlock the apartment’s revenue potential and free up her time.

The Challenge

Before Guesthouse stepped in, the studio’s revenue was inconsistent, averaging around MXN $17,000/month (~CAD $1,232). Some months were as low as MXN $1,200. Her goals were clear:

  • Achieve consistent monthly revenue of MXN $20,000+ (~CAD $1,450)

  • Increase occupancy and attract longer-term stays

  • Reduce her personal workload by delegating property management

04 · THE WORK

Our Strategy

Guesthouse implemented a coordinated management strategy focused on improving revenue performance, attracting suitable bookings, and delivering a consistent guest experience.

1. Pricing & Revenue Optimization

  • Refined pricing to better reflect market conditions and booking demand.

  • Monitored performance and adjusted rates to support revenue growth.

2. Booking Strategy & Longer Stays

  • Adjusted the booking strategy to encourage longer reservations where appropriate.

  • Sought to reduce unnecessary turnover and improve operational efficiency.

3. Guest Experience

  • Provided responsive guest communication and personalized support throughout each stay.

  • Focused on a consistent, well-prepared guest experience to support positive reviews and the property's market positioning.

Main Objective: Improve revenue consistency, attract suitable bookings, and reduce the day-to-day management burden on the client.

05 · PERFORMANCE DETAILS

Monthly Performance

DECEMBER

Gross Revenue: ≈ CAD $1,882

Avg. nightly rate: MXN $1,001

Avg. stay: 5.4 days · Occupancy: 87%

Revenue gains following management changes

MXN $24,546.80

JANUARY

Gross Revenue: ≈ CAD $1,912

Avg. nightly rate: MXN $988

Avg. stay: 14.5 days · Occupancy: 87%

Long-stay promotions began showing results.

MXN $24,948.16

FEBRUARY

Gross Revenue: ≈ CAD $1,831

Avg. nightly rate: MXN $1,235

Avg. stay: 3.4 days · Occupancy: 89%

High occupancy alongside optimized pricing.

MXN $23,883.55

MARCH

Gross Revenue: ≈ CAD $2,209

Avg. nightly rate: MXN $1,417

Avg. stay: 5.2 days · Occupancy: 71%

The highest revenue month, supported by a higher average nightly rate.

MXN $28,819.10

APRIL

Gross Revenue: ≈ CAD $1,331

Avg. nightly rate: MXN $1,326

Avg. stay: 5 days · Occupancy: 51%

Lower occupancy amid seasonal fluctuations and short-term booking cancellations.

MXN $17,365.83

06 · CONCLUSION

Key Takeaways

Revenue Growth Through Strategic Pricing

By increasing the nightly rate at takeover and adjusting pricing to reflect demand, Guesthouse helped raise average monthly gross rental revenue from approximately MXN $17,000 to MXN $23,913 over five months. This represented roughly 41% growth and exceeded the client's initial MXN $20,000 monthly target.

Longer Stays, Lower Operating Costs

By offering discounts for stays of seven days or longer, Guesthouse secured eight extended stays during the five-month study period. Longer bookings can reduce guest turnover and associated cleaning expenses, helping preserve more of the property's rental revenue for the owner while simplifying day-to-day operations.

Revenue Performance Beyond Occupancy

The studio's highest-revenue month reached MXN $28,819 in March, despite occupancy of 71%, compared with 89% in February. This illustrates why occupancy alone does not determine revenue performance: pricing, booking patterns, and the value generated per booked night also matter.

Guest Satisfaction as Part of the Strategy

Responsive guest communication, concierge-style support, and a more hotel-like experience formed part of Guesthouse's management strategy. Guest ratings remained at 5.0 stars from December through February and stood at 4.75 in March, providing a positive indicator of guest satisfaction alongside the property's revenue results.

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