Airbnb Requests New York City to Reconsider Short-Term Rental Regulations

(Reuters) – Airbnb on Tuesday asked New York City to reconsider regulations on short-term rentals that went into effect in September 2023, citing higher prices for travelers and zero impact on the housing market.

In a blog post, Airbnb stated that Local Law LL18, which requires hosts to be permanent occupants of the rental units and to register with the city before posting rentals, has “failed to combat the housing crisis”.

According to an August report by data analytics firm Airdna, the implementation of the law led to an 83% decline in Airbnb listings allowing stays under 30 nights.

Airbnb pointed out that, based on data from Apartment List, vacancy rates for apartments in New York City have remained virtually unchanged at 3.4% since the law took effect.

Additionally, Airbnb noted an increase in travel costs. Hotel rates in New York City rose by 7.4% year-over-year in July, compared to 2.1% across the U.S., according to data from Co-Star.

Airbnb stated, “By rolling back parts of the law, the city can increase the supply of accommodations for consumers, support resident hosts, and revitalize local businesses that depend on tourism dollars.”

The New York City mayor’s office and the Office of Special Enforcement were not immediately available for comment.

Last year, a New York judge dismissed the company’s lawsuit against New York City over the local law.