Project – Short-Term Rental Accommodation and Residential Property Management Challenges: A Study of Selected Properties in Wuse 2, Abuja

CHAPTER ONE

INTRODUCTION

1.1 Background to the Study

The emergence of short-term rental accommodation has become an important development in contemporary urban housing and real estate markets. Short-term rentals generally involve the provision of furnished residential accommodation to guests for relatively brief periods, often ranging from one night to several weeks, rather than under conventional long-term tenancy arrangements. The growth of digital platforms such as Airbnb has significantly expanded the visibility and accessibility of such accommodation, allowing property owners and managers to market residential units directly to visitors and temporary residents. Guttentag (2015) explains that peer-to-peer accommodation platforms have transformed the traditional accommodation market by connecting property owners with travellers and creating new forms of accommodation that compete with conventional hotels and other lodging facilities.

The growth of short-term rental accommodation has also created new opportunities for property owners and real estate investors. Residential properties can generate income through frequent guest occupancy, while owners may benefit from flexible pricing and potentially higher returns than conventional long-term leasing. In emerging urban property markets, digital platforms have made it easier for property owners to participate in this sector without establishing traditional hospitality businesses. According to Adamiak (2019), the expansion of short-term rentals has been facilitated by online platforms, urban tourism and the economic attractiveness of temporary accommodation, although the growth of the sector also creates challenges for housing markets and local communities.

In Nigeria, short-term rental accommodation has become increasingly visible in major urban centres, particularly Abuja and Lagos, where there is substantial demand from business travellers, tourists, expatriates, government officials and other temporary visitors. Abuja, as the Federal Capital Territory and an important administrative and commercial centre, provides a favourable environment for short-let accommodation because of its continuous flow of visitors and demand for furnished housing. Recent research on Abuja’s residential property market indicates that Airbnb and related short-term rental activities have increased demand for short-term accommodation while also influencing residential property development and investment patterns (Ayodele et al., 2025).

The expansion of short-term rental accommodation, however, introduces a distinctive set of property management responsibilities. Unlike conventional residential properties where a tenant may occupy a property for several months or years, short-term rental properties can experience frequent changes of occupants. Property managers may therefore be required to coordinate regular cleaning, inspection, repairs, security checks, utility management, guest communication, check-in and check-out procedures and maintenance of furniture and household equipment. A recent study of residential property management in Abuja found that management challenges arise from economic, environmental, social, political, tenant-related and estate-manager-related factors, demonstrating the complexity of managing residential properties effectively in the city (Ijigah & Akinola, 2025).

Another important issue is the increased maintenance burden associated with short-term rental properties. Frequent occupancy and turnover may result in greater use of furniture, appliances, plumbing installations, electrical facilities and other components of a residential property. Property managers may therefore have to respond to maintenance problems more frequently than they would in conventional long-term rental arrangements. Evidence from a 2025 study of short-term housing investment in Abuja and Lagos identified management and maintenance-related challenges as among the most important difficulties confronting short-term rental investment, with management and maintenance ranking as the leading challenge in Abuja (NIESV, 2025).

Short-term rentals can also create challenges relating to security, tenant screening and control of property use. The high frequency of guest turnover makes it necessary for managers to establish effective procedures for verifying guests, monitoring occupancy, enforcing house rules and protecting residents and property from inappropriate use. Unlike conventional tenancy, where a property manager may deal with a relatively stable occupant, short-term rental management requires repeated interaction with different individuals whose behaviour and expectations may vary considerably. Research on Airbnb development in Abuja identified safety concerns, regulatory issues and quality-control problems among the significant challenges associated with the sector (Ayodele et al., 2025).

The issue of regulation is another major concern in the management of short-term rental accommodation. Conventional residential tenancy is generally governed by established landlord-tenant arrangements, while short-term accommodation occupies a somewhat different position between residential housing and hospitality services. Questions may therefore arise concerning zoning, registration, taxation, safety standards, neighbourhood rules and the permissible use of residential properties for commercial accommodation. Ayodele et al. (2025) found that regulatory and legal issues were among the highest-ranked challenges affecting Airbnb development in Abuja and argued for clearer legal frameworks, improved tax enforcement and appropriate regulation of the sector.

The increasing conversion of residential properties to short-term accommodation may also have implications for the wider residential property market. When property owners perceive short-term rentals as more profitable than conventional leases, some residential units may be withdrawn from the long-term rental market. This can affect the availability of housing for conventional tenants and potentially contribute to changes in rental values. Ogana and Jilemsam (2025) found that areas of Abuja with significant Airbnb activity, including Wuse, reported relatively high rental values and examined the implications of the platform for rental values and housing availability.

Wuse 2 is particularly relevant to the study because it is an established and commercially active district within Abuja with significant residential and mixed-use property development. Its location, accessibility, commercial activities and concentration of residential apartments make it suitable for short-term accommodation. Existing research on residential property rental values in Abuja has specifically included Wuse II and found substantial involvement of property managers in managing residential units within the district. This provides a useful basis for examining how the increasing use of properties for short-term accommodation may affect day-to-day property management practices in the area (see assessment of residential rental trends in Abuja).

The management of short-term rental properties in Wuse 2 may therefore involve balancing profitability with property preservation, guest satisfaction, security, neighbourhood relations and compliance with relevant requirements. Property managers must maintain the physical condition of the property while also responding quickly to complaints, managing service providers and ensuring that facilities remain attractive to prospective guests. This is particularly important because guest reviews and satisfaction can influence the marketability and occupancy of short-term rental properties. Research conducted on short-term rental properties in Abuja has also examined guest satisfaction and identified the quality and functionality of accommodation as important aspects of the short-term rental market (Ayuba et al., 2025).

Furthermore, short-term rental accommodation can affect the relationship between property owners, managers, guests and surrounding residents. Noise, overcrowding, frequent movement of guests, inappropriate use of shared facilities and disruption of neighbourhood routines may create tensions between short-let operators and permanent residents. The Abuja Airbnb study identified noise and disruption in residential areas, overcrowding and other community-related concerns among the challenges associated with the growth of short-term rentals (Ayodele et al., 2025).

The financial dimension of short-term rental property management is equally important. While short-term accommodation may generate higher gross income under favourable occupancy conditions, it may also involve greater expenditure on cleaning, utilities, maintenance, furnishing, security, marketing, platform fees and property administration. A property that is frequently occupied may require more regular repairs and replacement of facilities than a property occupied by a long-term tenant. Research by the Nigerian Institution of Estate Surveyors and Valuers (NIESV, 2025) identified high initial investment costs, management and maintenance costs, quality control and marketing-related issues among the important challenges facing short-term rental housing investments in Abuja and Lagos.

These challenges make professional property management increasingly important in the short-term rental sector. Effective property management involves more than rent collection; it includes planning, maintenance, financial management, tenant or guest relations, supervision of facilities and protection of the owner’s investment. In Abuja, recent empirical research has demonstrated that property management challenges can substantially influence landlord-tenant relationships and satisfaction, with economic, social, environmental and managerial factors contributing to management difficulties (Ijigah & Akinola, 2025).

Despite the growing importance of short-term rental accommodation in Abuja, there remains a need for more location-specific research into the practical property management challenges faced by operators and managers. Existing studies have examined Airbnb’s effects on Abuja’s residential property market, housing availability, rental values, guest satisfaction and general investment challenges, but fewer studies have concentrated specifically on the day-to-day management difficulties experienced by selected short-term rental properties in Wuse 2. Consequently, this study seeks to examine Short-Term Rental Accommodation and Residential Property Management Challenges: A Study of Selected Properties in Wuse 2, Abuja, with particular attention to the operational, maintenance, financial, security, regulatory and tenant/guest-related challenges associated with managing such properties.

1.2 Statement of the Problem

The rapid growth of short-term rental accommodation in Abuja has created new opportunities for residential property owners and investors, but it has simultaneously introduced significant management challenges. Properties operated as short-lets experience frequent guest turnover, increased facility usage and continuous demand for cleaning, maintenance, security and customer service. Recent research on short-term housing investment in Abuja identified management and maintenance-related challenges as the most prominent challenge, indicating that the profitability of short-term rental accommodation may be accompanied by substantial operational demands (NIESV, 2025).

A further problem is the difficulty of maintaining effective control over properties occupied by constantly changing guests. Frequent guest turnover can create challenges relating to property damage, noise, security, compliance with house rules, cleaning and prompt response to complaints. In addition, inadequate control may affect permanent residents and neighbouring properties, potentially producing conflicts within residential communities. Research on Airbnb development in Abuja has identified safety concerns, noise and disruption, overcrowding and quality-control issues among the challenges associated with short-term rentals (Ayodele et al., 2025).

Another concern is the regulatory and financial uncertainty surrounding short-term rental operations. Property owners and managers may face questions relating to registration, taxation, zoning, security requirements and appropriate use of residential premises. At the same time, the cost of furnishing, maintaining, marketing and securing short-term rental properties may reduce the expected profitability of the investment. Existing evidence from Abuja shows that regulatory/legal issues and financial considerations constitute important challenges in the development and management of Airbnb properties (Ayodele et al., 2025; NIESV, 2025).

Although studies have examined Airbnb development and residential property management in Abuja generally, there is still insufficient empirical attention to the specific management challenges experienced by selected short-term rental properties in Wuse 2. Existing research has established that Wuse II is an important location within Abuja’s residential property market, while recent studies have separately examined Airbnb’s broader effects on Abuja and general residential property-management challenges. However, the operational intersection between short-term rental accommodation and residential property management at the property level remains insufficiently examined. Therefore, this study is designed to identify the major management challenges confronting selected short-term rental properties in Wuse 2 and examine their implications for effective property management.

1.3 Purpose of the Study

The main purpose of this study is to examine the short-term rental accommodation and residential property management challenges in selected properties in Wuse 2, Abuja.

Specifically, the study seeks to:

1. examine the nature and characteristics of short-term rental accommodation in selected properties in Wuse 2, Abuja;
2. identify the major residential property management challenges associated with short-term rental accommodation in the study area;
3. examine the effects of short-term rental operations on property maintenance and management costs;
4. assess the security, guest-management and neighbourhood-related challenges associated with short-term rental properties

1.4 Research Questions

The study will answer the following research questions:

1. What are the characteristics of short-term rental accommodation in selected properties in Wuse 2, Abuja?
2. What are the major residential property management challenges associated with short-term rental accommodation in Wuse 2?
3. To what extent does short-term rental operation affect property maintenance and management costs?
4. What security, guest-management and neighbourhood-related challenges are associated with short-term rental properties in Wuse 2?

1.5 Research Hypothesis

The following null hypothesis will be tested at the 0.05 level of significance:

H₀: There is no significant relationship between short-term rental accommodation and residential property management challenges in selected properties in Wuse 2, Abuja.

1.6 Significance of the Study

The study will be significant to property owners and investors because it will provide information about the practical challenges associated with operating residential properties as short-term rentals. The findings may help property owners evaluate the management implications of short-let investment before converting conventional residential properties into short-term accommodation.

The study will also benefit estate surveyors, valuers and property managers by providing empirical information about the specific operational problems associated with managing short-term rental properties. This may assist professionals in developing better maintenance schedules, guest-management procedures, inspection systems, financial controls and property-management strategies. The importance of effective professional management is supported by evidence that management-related factors significantly affect residential property outcomes in Abuja (Ijigah & Akinola, 2025).

The study will be useful to government agencies and regulatory authorities responsible for housing, urban planning, taxation, tourism and property regulation. Findings concerning registration, zoning, security, taxation and property-use challenges may contribute to the development of clearer and more appropriate regulatory frameworks for short-term rental accommodation. This is particularly important because recent research in Abuja has identified regulatory and legal issues as major challenges affecting Airbnb development (Ayodele et al., 2025).

The study will also be relevant to residents and communities in Wuse 2. By examining issues such as noise, security, guest turnover, overcrowding and disruption, the study may help identify ways of promoting coexistence between short-term rental operators and permanent residents. This is important because the growth of short-term rentals can influence not only individual properties but also neighbourhood conditions and housing-market dynamics (Ayodele et al., 2025).

Finally, the study will contribute to academic knowledge in estate management, property management, housing studies and urban development. It will provide location-specific evidence on the relationship between short-term accommodation and residential property management challenges in Wuse 2, Abuja, and may serve as a reference for future researchers investigating short-term rentals in other districts of Abuja and other Nigerian cities.

1.7 Scope of the Study

The study focuses on Short-Term Rental Accommodation and Residential Property Management Challenges in Selected Properties in Wuse 2, Abuja.

The study will specifically examine:

• the nature of short-term rental accommodation;
• property maintenance and repair challenges;
• cleaning and facility-management challenges;
• guest management and communication;
• security and safety issues;
• financial and operating costs;
• property damage and wear and tear;
• neighbourhood and community-related challenges;
• regulatory and compliance issues; and
• strategies for improving short-term rental property management.

The study will be limited geographically to Wuse 2, Abuja, Federal Capital Territory, Nigeria, and will focus on selected residential properties operating wholly or substantially as short-term rental accommodation. It will not primarily examine conventional long-term residential properties, hotels or other forms of commercial hospitality accommodation except where comparison is necessary.

1.8 Operational Definition of Terms

Short-Term Rental Accommodation: Residential accommodation made available to guests for relatively brief periods, normally shorter than conventional long-term tenancy arrangements.

Residential Property: A building or unit primarily designed or used for human habitation, including apartments, flats, duplexes and similar residential accommodation.

Property Management: The professional or administrative activities involved in operating, maintaining, supervising and protecting real estate on behalf of an owner.

Property Management Challenges: Difficulties encountered in the administration, maintenance, financial control, security, supervision and general operation of a property.

Short-Let Property: A residential property offered to occupants for short periods, commonly through direct booking or online accommodation platforms.

Property Maintenance: Activities undertaken to preserve the physical condition, functionality, safety and value of a property.

Guest Management: The processes involved in communicating with guests, handling bookings, check-in and check-out, enforcing property rules, responding to complaints and ensuring satisfactory occupancy.

Occupancy: The extent to which a short-term rental property is occupied by paying guests during a specified period.

Property Damage: Physical deterioration, breakage, loss or destruction of property components, furniture, appliances or facilities resulting from use or other causes.

Regulatory Compliance: The extent to which short-term rental operators comply with applicable laws, planning requirements, taxation obligations, safety requirements and other official regulations.

Wuse 2: A prominent district within the Federal Capital Territory of Abuja that contains residential, commercial and mixed-use properties and serves as the geographical focus of this study.

Project – Short-Term Rental Accommodation and Residential Property Management Challenges: A Study of Selected Properties in Wuse 2, Abuja