Citing REIT’s are Most Affected by Airbnb, Merrill Lynch Analysts Downgrade Many Large Hotel Groups

August 17, 2015

MarketWatch reports that by the end of 2016, Merrill Lynch analysts say listings on home-renting platform Airbnb Inc. could make up as much as 1.2% of hotel offerings. But as a fast-growing startup, with an estimated 40% to 50% growth in listings per year, Airbnb listings could make up 3.6% to 4.3% of inventory by 2020, the analysts say. "Our preliminary work suggests Airbnb is a force to be reckoned with that is likely to have an increasing impact on the travel landscape," the analysts wrote. In increasing its market share, Airbnb is expected to help the overall room supply finally meet consumer demand. That should force hotels to lowe...