Founded in 2020 by entrepreneurs and investors Jess Levy, and Éric and Michael Dayan, Highstay offers a new version of the upscale hotel and extended stay business. Five years on, Highstay CEO Maxime Lallement talks to Business Immo about the business model of this fast-growing company and its future development plans.
Business Immo: Has the Highstay concept evolved since its creation in 2020?
Maxime Lallement: Since our previous discussions, while the Highstay concept remains unchanged, the brand itself has grown considerably. We've broadened our offering by proposing more apartments for rent, as well as new services within our concierge service. In fact, Highstay offers apartments, currently all located in Paris, with the same level of service found in the capital's top hotels.
Our starting point is the realization that, when traveling, there's nothing more unpleasant than feeling like a "mere tourist." Our aim is to help you discover authentic Paris through increasingly unique experiences, palace-like services (concierge service, daily housekeeping, chauffeurs, etc.) and exceptional accommodations that make you feel right at home. In this sense, the only major evolution of the concept is the addition of an "extended stay" offer, now making it possible to book stays of over 30 days, for both individuals and professionals.
And speaking of development, the news at the start of this year includes the launch of Boétie, which will belong to Highstay Maisons, dedicated to property management. What does Highstay Maisons consist of?
Highstay Maisons is our new collection specially dedicated to property management. In January 2025, we will launch the Highstay Maisons collection with a first address called "Boétie," in the heart of the Golden Triangle. This is a Haussmann-style building of over 1,000 m² that we own, comprising 17 apartments spread over five floors: from large studios to one- and two-bedroom apartments, not forgetting an exceptional suite on the fifth floor.
As with our previous acquisitions, we have been able to renovate the common areas and apartments in line with our high standards of quality and aesthetics. What's more, we prefer a discreet design, with no ostentatious signs on the façade. Arrivals can be made independently, while still benefiting from the presence of an on-site receptionist.
Each apartment in the Highstay Collection offers a variety of services: grocery delivery prior to arrival, in-apartment breakfast service, daily housekeeping, transfers, private coaching... The full range of Highstay concierge services and experiences is also available to Boétie guests. What's more, our customers will be able to privatize the entire building for events or long-term rentals, something not always offered before.
We will also soon be opening Maison Ventimiglia, a hotel currently being renovated with 13 apartments. This new "Maison" is scheduled to open at the end of 2025.
In terms of the business model, who owns the buildings or apartments? Do you own these properties?
First and foremost, Highstay is a hotel brand. We have made the strategic choice to acquire 99% of the apartments we operate. This allows us to control every aspect of the project: design, selection of materials, construction work, etc. Highstay therefore owns the majority of its real estate collection. In addition, we have opted for complete control of the operating chain by bringing our teams in-house: concierge, marketing and digital, finance, housekeeping (housekeepers and chambermaids), technical services, reception, interior design, decoration and sales. This vertical integration gives us optimum control, from start to finish, over each project.
What about the legal status of these acquisitions?
As far as our buildings are concerned, they fall under the status of listed hotels. The model remains identical to that of the Highstay apartments, although it differs in the way it is operated. Boétie is currently in the process of being classified. Although marketing has already begun, we'll have to wait for on-site assessment by the certifying bodies. Our ambition is to achieve the highest standards.
Where does the funding for these projects come from?
For the moment, our projects are financed exclusively by our own funds. However, our growth may lead us to change this strategy.
To date, we have a collection of 60 apartments: around ten are operated under the "Curated by Highstay" offer (properties entrusted to us by owners), and around fifty are part of the Highstay Collection, which we own ourselves. We also have around 40 undergoing renovation, with the aim of reaching between 125 and 150 apartments by the end of 2026.
Our ambition is not to achieve volume, but to work to the highest quality standards. That's why we've opened up the possibility for certain owners to entrust their properties to us, so that we can take care of the work and architecture in addition to management.
For the moment, Highstay is concentrating solely on the capital. Do you have any plans to expand into other cities and/or countries?
Absolutely. Starting next year, we'll be launching Highstay Villas in other destinations in France and Europe. The concept will involve operating two villas in highly sought-after locations. In the medium term, we're also planning to expand internationally, starting with Europe, and we're already in the study phase for the next two years.