By night, the world’s first capsule hotel, founded in Osaka, Japan, in 1979, resembled a futuristic morgue. Neat rows of narrow sleeping capsules each housed a recumbent body. However, by morning, the occupants—mostly businessmen who had worked late—would rise and head back to the office, thankful for the efficient sleep solution that spared them a grueling commute.
As this concept spread globally, tourists, eager to experience this unique aspect of Japanese culture, began opting for these tiny accommodations. Fast forward to today, and high hotel room rates, driven by soaring real estate prices, have revitalized the low-cost capsule hotel concept. These hotels offer budget travelers more privacy than a hostel dormitory and more comfort and connectivity than camping. Predominantly single-occupancy, they also cater to the boom in solo travel, with single-sex capsule hotels providing added security.
Projected to reach $327 million by 2031, the global capsule hotel market has seen curious hybrids emerge, sustaining the trend and attracting new customers. They entice the TikTok generation with increasingly outlandish forms, from upcycled sewer pipes in the Colombian desert to space-age pods with ambient controls in downtown Sydney, Australia—all promising unique experiences and shareable stories for social media. Capsule-cum-bookstores invite book lovers to snooze among the shelves, while boutique versions bring luxury to a traditionally no-frills market with fancy decor or fluffy duck-feather duvets. Here are eight of the most extraordinary examples of how the concept continues to reinvent itself.
A Sleep Laboratory
Nine Hours, a chain of 13 hotels across Japan, offers more than just a place to sleep. In their Shinagawa Station (men only) and Akasaka branches, guests can sign up for a “9h sleep fitscan” service. Sensors detect everything from breathing to facial expressions, generating a sleep report that tracks heart rate, identifies sleep apnea, and even monitors snoring. This focus on the quality of sleep sets Nine Hours apart in a sector often prioritizing novelty or budget over comfort.
The white, minimalist decor throughout the franchise continues this clinical theme, with rows of sleek, shiny sleeping pods reminiscent of a science-fiction movie set. The name refers to the hotel’s cost-effective concept: nine hours for room rental—seven hours for sleep and an hour on either side for washing and dressing. Hourly rates are also available for those just needing a nap.
Climb to the Sky
For adrenaline lovers, a night in a transparent sleeping pod clinging to a cliff face above Peru’s Sacred Valley is hard to beat. The Skylodge Adventure Suites offer incredible 300-degree views of the surrounding mountains and the formidable condors that inhabit them. A near-vertical 400m climb is the only way to reach the suites, though no climbing experience is necessary—just good health and a head for heights. Descending is speedier thanks to a series of zip wires.
Each capsule includes a private bathroom, ensuring that night trips to the toilet are not life-threatening. When the sun rises, guests can enjoy a cup of tea on their private deck. For those seeking more luxury, the nearby sister site, Starlodge, adds hillside hot tubs to the capsule hotel experience.
A Desert Oasis
The Tubo Hotel, La Tatacoa, is just a 10-minute drive from Colombia’s second-largest desert, the Tatacoa. Known for its clear starry skies, this desert is home to a rainbow of tiny, air-conditioned rooms with a shared swimming pool. The 37 capsules, fashioned from concrete sewer pipes painted in candy colors, provide just enough room for a double bed. Almost half of the rooms have shared bathrooms, but the room rates are budget-friendly, and guests can enjoy a shady garden, bar, and restaurant.
“This innovative and colorful place offers you a unique experience,” says Ambar Quintana, the hotel’s administrator. “It has everything you need to rest in a natural environment of fresh air and vegetation.”
Immerse in Nature
Suspended among the conifers like oversized Christmas baubles, the Free Spirit Spheres on Vancouver Island, Canada, offer a unique ecotourism experience. Owner Tom Chudleigh designed the first sphere 25 years ago to promote ecotourism and preserve Canada’s ancient forests.
There are currently three spheres, each based on the principle of biomimicry, shaped like a giant seed pod or nutshell. “Eryn” is fashioned from Sitka spruce and has a dining area, sink, and slightly undersized double bed inside. More recent additions, “Melody” and “Luna,” are fiberglass with similar amenities but feature full-size double beds. Each sphere is accessed via a spiral staircase wrapped around a tree and can be rented even in temperatures as low as -20C. Every detail has been meticulously crafted by Chudleigh, from walnut fold-out furniture to door handles cast from bronze.
Small but Soothing
Inside a Brutalist building in Singapore’s Chinatown lies a surprisingly serene interior. Opened in 2021, KINN Capsule offers a Zen take on the capsule concept. The walls are painted in calming peachy tones, and the pale wood sleeping chambers are fitted with crisp white bed linen. A special house fragrance designed to evoke the wildflowers of a Nordic forest adds to the tranquil atmosphere.
There are 72 capsules in total, sealed off with blackout blinds and spread across seven rooms, giving the place a boutique rather than a bunkhouse vibe.
A Book at Bedtime
In eastern China’s Zhejiang Province, a traditional mud and wood farmhouse received a prize-winning makeover in 2019. It reopened as a capsule hostel, bookstore, and community library, sleeping 20 in tiny compartments concealed between bookshelves made of local bamboo. Zigzagging stairways recall the serpentine paths of the surrounding forests of Tonglu. The remote building’s transparent floor-to-ceiling panels light it up like a cathedral at night, with lush mountainous scenery visible through them.
Cupboard Love
In Amsterdam’s upscale Oud Zuid neighborhood, guests pay to sleep in cupboards. The quirky De Bedstee Hotel draws on the 17th-century Dutch tradition of the bedstee (box bed), creating cozy sleeping nooks concealed behind cupboard doors. The hotel’s Art Deco features and acid-colored wallpapers downstairs give way to a shabby-chic design in the first-floor dormitories, where bedstee windows are framed by red gingham curtains and little wooden ladders lead to the capsules above. Guests can relax in the small terrace garden or take a half-hour stroll to the Rembrandt House Museum in the city center.
Pristine and Comparatively Posh
In Tokyo’s Asakusa district, the Resol Poshtel offers a calm escape from the hustle and bustle. The aroma, which includes orange, chamomile, and neroli, induces “a feeling of gentle calm.” Communal sleeping arrangements feature nothing but a curtain between guests, but the hotel’s cleanliness and functionality set it apart. The Edo-era styling, such as the sleeping cubicles’ arched entrance reminiscent of tea ceremony rooms and traditional Japanese murals, adds a hint of heritage to the modern design. The city’s oldest Buddhist temple, Sensō-ji, and the lantern-lined Nakamise-dori street are just a five-minute walk away.
As capsule hotels continue to evolve, they offer an increasingly diverse range of experiences, catering to different tastes and preferences. Whether you’re seeking a budget-friendly stay, a unique adventure, or a blend of both, there’s likely a capsule hotel somewhere in the world ready to provide an unforgettable experience.