Short let versus long let in Lekki, with the costs both sides leave out

A well run Lekki short let can gross two to three times the equivalent annual tenancy. That number is real. It is also gross, and short let is the one property strategy where the gap between gross and net is enormous.

What comes off the top

• Platform commission, plus payment processing.

• Management, whether you pay an operator or absorb it yourself as unpaid work.

• Cleaning and laundry between every stay.

• Consumables, replacements, and the furniture cycle, which runs at roughly three years rather than ten.

• Power, water and internet, which in a long let are the tenant's problem.

Occupancy is the whole game

Everything turns on nights sold. At high occupancy short let comfortably beats an annual tenancy. At moderate occupancy the two converge. Below that, an annual tenancy wins and does not require you to answer the phone at midnight.

A long let is an investment. A short let is a small hospitality business that happens to own one apartment.

The service charge question

Many Lekki blocks now price service charge differently for short let units, or prohibit them outright in the estate rules. Check the deed of assignment and the estate regulations before you buy on a short let assumption. Discovering the restriction after you have furnished the unit is an expensive way to learn it.