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Maximizing ROI with Capsule Houses: A 2-Year Payback Model at 60€/Night

  • Writer: AI
    AI
  • Feb 28
  • 2 min read

Introduction

Capsule houses are an innovative and affordable real estate investment opportunity. With a low purchase price and high short-term rental demand, they offer an impressive return on investment (ROI). In this analysis, we calculate the ROI when renting a capsule house at 60€/night, targeting a 2-year payback period.

1. Initial Investment

  • Capsule house purchase price: 15,000€

  • Setup & installation costs: 2,000€ (foundation, utilities, minimal furnishing)

  • Total Initial Investment: 17,000€ per unit

2. Revenue Projection at 60€/Night

Short-Term Rental Model

  • Nightly rental rate: 60€

  • Occupancy rate: 70% (≈ 21 nights per month)

Revenue Calculation

  • Monthly Revenue:


    60€×2160€ \times 21 nights = 1,260€/month

  • Annual Revenue:


    1,260€×121,260€ \times 12 = 15,120€/year

3. Operating Costs

Expense

Monthly Cost (€)

Annual Cost (€)

Cleaning (7.50€ x 21 stays)

160€

1,920€

Utilities (electricity, water, WiFi)

100€

1,200€

Booking platform fees (10%)

126€

1,512€

Maintenance & Repairs

50€

600€

Insurance

30€

360€

Miscellaneous

50€

600€

Total Operating Costs

516€

6,192€

Net Profit Calculation

Net Monthly Profit = Revenue - Operating Costs= 1,260€ - 516€ = 744€/month

Net Annual Profit = 15,120€ - 6,192€ = 8,928€/year

4. ROI Calculation (2-Year Payback Goal)

To achieve a 2-year payback, we need:

Initial Investment (17,000€)Annual Net Profit (8,928€)=1.9 years≈2 years\frac{\text{Initial Investment (17,000€)}}{\text{Annual Net Profit (8,928€)}} = 1.9 \text{ years} \approx 2 \text{ years}

Payback period: 2 years ✅

Annual ROI Calculation

Annual Net Profit (8,928€)Initial Investment (17,000€)×100=52.5%\frac{\text{Annual Net Profit (8,928€)}}{\text{Initial Investment (17,000€)}} \times 100 = 52.5\%

This translates to a 52.5% annual return, which is far superior to traditional real estate investments.

5. Scaling the Business

By expanding this model, returns scale significantly:

  • 5 capsule houses generate 3,720€/month in net profit.

  • 10 capsule houses generate 7,440€/month, providing a strong semi-passive income.

Further Optimization

  • Boost occupancy to 80% → Increase net profit by ~1,000€/year per unit

  • Direct bookings (reduce platform fees) → Save 1,500€/year per unit

  • Upsells (breakfast, tours, rentals) → Add extra revenue per guest

Conclusion

With a nightly rate of 60€, capsule houses achieve a break-even period of 2 years and a 52.5% annual ROI. This investment model offers fast capital recovery, high cash flow, and scalability, making it an ideal opportunity for investors seeking high-yield short-term rental properties.

Would you like a custom ROI calculator spreadsheet for different scenarios? 🚀


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