Explain the situation and demand a response within 30 days.

Additionally, since the tenants are often on a fixed income, you may not be able to raise rents and keep them at market.The positives are:Once someone moves in they tend to stay a long time, until...well, until... so, there's very little tenant turnover.They don't beat on the properties like younger people might, so lower repairs.There should continue to be good demand as the baby boomer generation continues to gray and retire.

I can’t help you with your competition or demand as I’m Not sure where you are looking to invest.

However, my 3/2 in Tampa is $200 more than my 3/1 in Tampa so it really does depend on the market and demand as well.  

I care about supply and demand. As

In that letter, you should also acknowledge that they owe you $XX for whatever that dollar amount represents; itemize the list and demand a refund (give a “by no later than” date which should be within a week of your letter).  

Yes it may be a fair assumption to expect rents to continue rising but A buildings could see less demand as people are/feel poorer and dont want to commit to luxury living, and increasing unemployment could cause issues with collections for all classes of buildings.

Or in other words, isn't the LL in a strong position to demand a guaranty from the operator and the franchisee?

That can trigger a full amount payoff on demand as it transfers to a new owner.

They're not prepared to know what guests expect or to handle their needs, and probably don't have the 24/7 contact capability which STR guests will expect / demand as opposed to tenants who can live with 24 hour turn-around except in the most pressing situations.