Global hotel brands are increasingly targeting Airbnb’s market share by introducing residential-style accommodations to cater to the growing demand for multigenerational travel. With over 40% of families planning trips that include at least three generations, the hospitality industry is witnessing a shift towards larger, professionally managed spaces. This trend has prompted major hotel chains like Marriott and Hilton to launch new offerings that blend the comfort of home with the services of a hotel.

Flats by Marriott Bonvoy has launched sales for its first for-sale multigenerational residential product at Ambar Residences Orlando, marking its entry into the US and Canadian markets. These residences offer large-format living spaces with full kitchens and flexible sleeping arrangements, alongside hotel-like services such as professional housekeeping and concierge access. This model aims to provide guests with the benefits of short-term rentals while maintaining the consistency and service of a hotel.

Hilton has also entered the fray with its Apartment Collection, which includes approximately 10,000 apartment-style units globally. The brand plans to expand by adding up to 3,000 more units through partnerships and franchise agreements. These offerings feature furnished flats with chef-ready kitchens and 24/7 on-site staff, combining residential flexibility with institutional operations.

Airbnb, meanwhile, reported a $120 million year-over-year profit decline in Q4 2025, highlighting the competitive pressures from these new developments. As hotels continue to innovate and expand their residential offerings, the future of short-term rentals is set to evolve, focusing on professionally operated, brand-backed hospitality solutions.