The apartment hotel is a building with apartments, individual guestrooms and rental units. An apartment hotel complex offers a complete fully fitted apartment. These complexes are custom built, and similar to a hotel complex containing a varied amount of apartments. The length of stay in these apartment hotels is varied with anywhere from a few days to months or even years. The people who stay in apartment hotels use them as long-term accommodation; therefore, the apartments are fitted with all necessary equipment the average home would require.

Apartment hotels were first created in holiday destinations as accommodation for families that needed to "live" in an apartment rather than "stay" as they would in a hotel. The apartments would provide a "holiday home" but generally be serviced. Later, these apartments evolved to be complete homes, allowing occupants to do everything they would at home, such as cleaning, washing, and cooking.