Pass the Keys Blog

Airbnb vs Mid-Term Letting in Canary Wharf: Which Strategy Really Works in E14?

Written by Pass the Keys - East London | Jan 14, 2026 7:44:58 AM

Canary Wharf and the Isle of Dogs present one of the most interesting property investment markets in London. With a unique mix of corporate demand, modern apartment buildings, and strong transport links, many landlords consider short-letting through Airbnb as a way to maximise returns.

But E14 isn’t a “simple” short-let market.

The 90-night rule, strict building restrictions, and the needs of a diverse tenant base mean that landlords must think carefully about which strategy delivers the best balance of income, compliance, and property longevity.

In this guide, we’ll take a clear, practical look at the two dominant approaches:

  • Airbnb-style short-lets (STR)
  • Mid-term corporate and relocation stays (30–180 days)

And most importantly: which strategy actually works best in Canary Wharf & the Isle of Dogs.

The Two Strategies Explained

1. Short-Term Lets (Airbnb Model)

Stays of 1–28 nights, high turnover, premium nightly rates.

Best known for:

  • Weekend stays
  • Corporate travel
  • Tourists & leisure guests
  • Contractors with short assignments

2. Mid-Term Lets (Corporate & Relocation Stays)

Stays of 30–180+ nights, fewer turnovers, more stable revenue.

Typical guests:

  • Corporate relocations
  • New hires starting roles in Canary Wharf
  • Families moving to London
  • International professionals
  • Digital nomads
  • Project-based contractors

Both models work well in E14 — but not for every property, and not in every building.

Strategy 1: Short-Term Lets (Airbnb Model)

Benefits of STR in E14

Short-term letting is financially attractive — when done in the right environment.

Pros:

  • High nightly rates
  • Strong business demand Mon–Thurs
  • Healthy weekend and leisure bookings
  • Ability to optimise prices for events
  • Boosted revenue in summer and Q4

Income Potential:

Strong, particularly for 1- and 2-bedroom modern flats with good finishes.

Main Drawbacks:

Despite the high income potential, E14’s unique conditions mean STR often comes with serious limitations.

1. The 90-Night Rule

Short-term lets in London are limited to 90 nights per calendar year unless planning permission is granted — something extremely rare in Tower Hamlets, especially in large residential towers.

2. Building Restrictions

The majority of Canary Wharf and Isle of Dogs buildings have leases that explicitly forbid:

  • Holiday letting
  • Short-term accommodation
  • Commercial or serviced use

Even when the lease wording is ambiguous, management companies often enforce restrictions aggressively.

3. Operational Complexity in Towers

High-rise buildings add real-world friction:

  • Concierge checks
  • Lift access delays
  • Fob restrictions
  • Parking complications
  • Strict guest registration rules

4. Neighbour Sensitivity

High-density living means complaints escalate quickly.

5. Wear-and-Tear

Short-lets cause:

  • More cleaning cycles
  • Greater maintenance demands
  • Faster deterioration of furniture

These factors can eat into profit margins if not carefully managed.

Strategy 2: Mid-Term Lets (30–180 Days)

Why The Mid-Term Model Works Exceptionally Well in E14

Canary Wharf and the Isle of Dogs benefit from a rare combination:

  • Continuous arrival of new corporate employees
  • Staff relocations from overseas
  • Contractors working on long-term projects
  • Families scouting for long-term homes
  • Consultants stationed in London for several months
  • Digital nomads who prefer modern, quiet buildings

This makes E14 one of the most robust mid-term letting markets in the UK.

Benefits of Mid-Term Lets

1. Fully Compliant With Most Leases

Most leaseholders are allowed to rent on terms above 90 days without issue.
This bypasses the short-let restrictions that block many Airbnb hosts.

2. Not Affected by the 90-Night Rule

Mid-term stays (30+ days) do not count as short-term letting.
This means:

  • No planning permission issues
  • No council restrictions
  • No “holiday letting” classification

3. Lower Turnover, Lower Risk

Mid-term guests take care of properties more responsibly than short-term tourists.

4. Strong Monthly Revenue

While nightly rates are lower than STR, total annual income often exceeds traditional ASTs by 20–40%.

5. Ideal Guest Profile

Professionals relocating to London for work typically:

  • Keep the property clean
  • Communicate well
  • Stay longer
  • Cause minimal disturbance

6. Better for Building Relations

Concierge teams and management companies prefer predictable, longer-term guests.
There is less suspicion and far fewer complaints.

So Which Strategy Makes More Money in E14?

It depends on the property — but in many cases, the hybrid approach outperforms everything else.

Option A: Pure Short-Let (90 Nights Only)

Example for a 1-bed:

  • Avg nightly rate: £180

  • 90 nights: £16,200 revenue

  • Remaining 275 days = £0 if left empty

Even with high rates, the cap keeps total annual income limited.

Option B: Pure Mid-Term Let (365 Days)

Example:

  • £130 per night equivalent (corporate stay)

  • Year-round occupancy

  • Annual revenue: £47,450

Consistent, compliant, and high-earning.

Option C: Hybrid Strategy (Usually the Best in E14)

90 nights STR + 275 nights mid-term:

  • 90 nights @ £185 = £16,650

  • 275 nights @ £130 = £35,750

Total annual revenue: ~£52,400

This is why the hybrid model has become the dominant strategy for serious E14 investors.

You get:

  • High STR revenue during peak periods
  • Full occupancy for the rest of the year
  • Full compliance with planning and lease rules
  • Lower operational strain
  • A healthier property with less wear
  • Far less conflict with building management

Which Properties Are Best for Each Strategy?

Airbnb (Short-Term) works best for:

  • High-quality, well-staged 1–2 bed flats
  • Buildings without STR restrictions (rare but exist)
  • Freehold houses on the Isle of Dogs
  • Units with river views or premium interiors
  • Properties with good natural light and strong photography potential

Mid-Term Letting works best for:

  • Any building where STR is restricted
  • Apartments near Canary Wharf Estate or major offices
  • Larger apartments (2–3 beds)
  • Properties targeting relocation families
  • Flats in quiet, residential developments
  • Units with home-office space

Hybrid works best for:

  • Modern 1–2 bed flats
  • Leasehold apartments where STR is allowed under 90 days
  • Properties aiming to maximise both ADR and occupancy
  • Hosts who want strong ROI without legal risk

Additional Considerations for E14 Landlords

1. Leasehold Compliance

Always check whether your lease allows short-letting.
Mid-term stays usually remain fully compliant.

2. Building Culture

Some buildings quietly tolerate short-letting; most do not.
Mid-term is generally welcomed.

3. Operational Capacity

Short-lets involve:

  • Frequent cleaning
  • Guest communication
  • Key handovers
  • Maintenance fluctuations

Mid-term letting is operationally lighter.

4. Wear-and-Tear Costs

STR wears down furniture at a much faster rate.
Mid-term is gentler on the space.

5. Guest Profile

E14 attracts serious professionals.
Setting up your property for this demographic yields excellent results.

6. Neighbour Relations

Mid-term guests blend into the building.
Short-let guests are noticed immediately.

Summary: Which Letting Strategy Is Best for Canary Wharf & the Isle of Dogs?

For most properties — especially leasehold apartments — the mid-term or hybrid model offers the best combination of:

✔ High income
✔ Full compliance
✔ Lower risk
✔ Better guests
✔ Smoother building relations
✔ Less wear-and-tear
✔ More predictable revenue

Short-term lets still offer value, especially for freehold houses and compliant buildings, but the 90-night rule limits their standalone viability.

In E14, the most successful landlords are those who combine carefully timed short-lets with strong mid-term occupancy, aligning with the expectations of corporate and relocation markets.