In the world of short-term rentals (STRs), many owners dream of scaling up their operations, but few achieve the leap into boutique hotels, growing their portfolios to new limits, and pushing the income to new highs. A friend of ours in the STR space, Blake Dailey has built an impressive career that we are excited to share with our audience. By sharing his story, we aim to inspire and educate our readers on the possibilities within the hospitality industry. 

With a portfolio that spans almost 150 units across multiple states, Blake’s journey offers invaluable insights for STR owners looking to grow their businesses. Here’s how Blake turned his vision into reality and the lessons short-term rental owners can learn from his story!

Humble Beginnings: From Hurricane-Damaged Homes to STR Success

Blake Dailey began his real estate investing journey in Panama City, Florida, where he specialized in acquiring and renovating hurricane-damaged homes. These properties, often off-market and in need of substantial work, became his training ground for understanding property acquisition, renovation, and management. Over time, he built a portfolio of eight short-term rentals— while balancing the responsibilities of an active-duty Air Force career.

Blake’s early experiences taught him the importance of identifying underutilized assets, understanding the needs of a target market, and delivering value through thoughtful design and operations. These lessons laid the foundation for his transition into boutique hotels.

The Vision: Scaling Up

Driving along the bustling strip of Panama City Beach, Blake often found himself looking at the hotels and condos lining the shore, thinking, “wouldn’t that be awesome…Is it such a stretch?” That thought marked the beginning of his pivot from STRs to boutique hotels.

“I realized hotels aren’t just for big-time institutional investors,” Blake shares. “They can be for people like you and me, with the right work ethic and guidance.”

This mindset shift propelled Blake to dive into the world of boutique hotels, starting with smaller properties ranging from 8 to 20 units. Over his career, Blake’s lifetime portfolio includes six boutique hotels, four of which he has successfully sold while retaining ownership of two, and collectively generating over $3 million annually in topline revenue, with a focus on strategic growth and larger acquisitions.

Building Stayvest: A New Standard in Hospitality

Blake founded StayVest to redefine the hospitality experience. The company’s approach focuses on:

• Acquiring Underutilized Assets: Identifying well-located but underperforming properties for rebranding and renovation.
• Professional Design: Creating functional, amenity-rich spaces tailored to guest needs.
• Optimized Operations: Leveraging technology for dynamic pricing, direct booking capabilities, and seamless management.
• Direct-to-Consumer Focus: Prioritizing direct bookings through SEO, paid traffic, and other digital strategies to reduce reliance on third-party platforms.

StayVest’s commitment to guest experience and operational excellence has allowed it to thrive in competitive markets like South Lake Tahoe, Panama City Beach, and the Smoky Mountains.

 

Property Spotlights: Transforming Underperforming Hotels

Blake’s portfolio is a testament to his ability to see potential where others might not. Here are some of his standout projects:

South Lake Tahoe, CA –

• Property #1: This 14-unit property sold for a significant profit after a successful rebrand and renovation.
• Property #2: This 21-unit lodge, acquired and enhanced with $1 million in prior renovations, saw its value increase by approximately 24% after Stayvest's value-add approach.

Panama Beach, FL –

• Blake's market knowledge and strategic renovations transformed this 18-unit property into a standout success, increasing its value by an impressive 68%.

These projects highlight Blake’s ability to analyze market data, execute thoughtful renovations, and optimize operations for maximum returns.

 

Take a sneak peak at StayVest's latest project in Tennessee!

 

Lessons for STR Owners Looking to Scale

Blake’s journey offers several takeaways for short-term rental owners:

1. Start with a Solid Foundation:

Whether it’s STRs or boutique hotels, success starts with understanding your market and investing in high-quality renovations.

2. Think Big:

Don’t be afraid to explore larger opportunities. With the right team and strategy, boutique hotels can become a viable option.

3. Focus on Operations: 

The guest experience is paramount. Invest in technology and training to ensure smooth, memorable stays. 

4. Leverage Direct Bookings:

Reducing reliance on third-party platforms can significantly boost your bottom line.

5. Build for Scale:

Look for opportunities to increase your footprint and economy of scale within your target markets.

For more tips on scaling up, check out Blake's blog post, How to Manage & Operate Boutique Hotels And Short-Term Rentals at Scale.

 

Final Thoughts: Why Boutique Hotels?

For Blake, the move to boutique hotels wasn’t just about scaling up; it was about creating something lasting and impactful. Boutique hotels allow for creative freedom, operational control, and the opportunity to serve thousands of guests with a unique, personalized touch.

“If you’re willing to put in the work and surround yourself with the right people, there’s no reason you can’t succeed in this space,” Blake says.

For STR owners ready to take their business to the next level, Blake Dailey’s story is proof that with vision, effort, and the right strategy, anything is possible!

 

Looking for More? 

Check out Blake’s website here and sign up for his STR and Boutique Hotel Community to learn more, directly from the source. 

As always, if you’re looking for help designing your short-term rental or boutique hotel project, we’re here to help! Book a complimentary consultation with us today!

 

You May Also Be Interested In: 

• Unlocking New Opportunities: Creative Uses for Your STR
• Get Direct Bookings and Save on Airbnb Fees!
• How to Conduct Market Research for Your Short-Term Rental
• How to Ensure Your Boutique Hotel Doesn't Fall Into the Economy Category!