It was only a matter of time before critical mass hit Europe’s city-centered tourism economy. Over 60% of the world’s population will reside in urban areas by 2030, according to the World Health Organization, while an estimated 1.8 billion tourists will cross country borders by the same time period.
Now, civic leaders at some popular European destinations have had enough, and are putting curbs on tourism travel.
In Florence, Italy, legislators are rolling out plans to outlaw short-term rentals, including Airbnb’s. The new ban is expected to easily pass a Sept. 13 vote and go into law by November.
“We are witnessing a progressive growth in the influx of tourists which has become even more pronounced since the pandemic,” said Florence Mayor Dario Nardella, who also cited the “very important” bill coming out of the city’s legislature.
City officials say the short-term rental ban is necessary to secure Florence’s historic neighborhoods and hopefully reduce rising rental costs.
“We are putting a simple ban in the UNESCO area to meet our responsibilities of protecting the cultural and material identity of the centro storico, and to dampen the effect of rent increases across the entire city – which are directly linked to the boom of short-term tourist rentals,” Nardella said.
“We have rolled up our sleeves because for too long we’ve been asking for regulation that never happens,” he added.
Florence is hardly alone.
In Vienna, Austria, a new city mandate bars homeowners from renting out their homes more than 90 days annually. The historic city had established some piece-meal measures to block short-term rentals in some sections Vienna, but the new rule covers the entire metro area.
In Paris, France, city officials will limit homeowners to a 120 day per-year unit rental window. Homeowners who wish to rent their properties will also have to register their property with the city. Paris regulatory agencies will also get more aggressive about tracking down homeowners who exceed the mandated rental schedule and issuing hefty fines.
Source: https://www.thestreet.com/author/brian-oconnell
SAN FRANCISCO (AP) — Airbnb is dispatching inspectors to rate thousands of the
properties listed on its home-rental service in an effort to reassure travelers they’re
booking nice places to stay.
The Plus program, unveiled Thursday, is aimed at winning over travelers who aren’t
sure they can trust the current rating system drawn from the opinions posted by past
guests. The misleading pictures drawn by Airbnb’s rating system have become a big
enough problem to spawn a website devoted to horror stories spanning from an
overcrowded, dirty “hippy commune ” in Pasadena, California, to a Paris vacation ruined
in a moldy, bug-infested apartment.
“You realize over time that you do have to take more responsibility for your platform,
you have to be hands on, you have to make judgments,” Airbnb CEO Brian Chesky said
in an interview with The Associated Press.
The hands-on touch built into the Plus program comes 10 years after Chesky and his
former roommate started Airbnb in a San Francisco apartment in hopes of bringing
in more money to pay their own rent.
Airbnb’s internal surveys have found nearly three-fourths of the travelers on its service
are willing to pay more for inspector-certified properties, allowing homeowners and
apartment dwellers to quickly recoup a $149 fee to participate in Plus.
Human inspectors will review properties based on a 100-point checklist covering
everything from the speed of the Wi-Fi to the comfort of the bedding. Properties that fail
can still be part of Airbnb’s regular listings; the company will also offer advice on
improvements to qualify.
The program will initially cover about 2,000 properties in 13 cities — Austin, Texas;
Barcelona, Spain; Cape Town, South Africa; Chicago; Los Angeles; London;
Melbourne, Australia; Milan; Rome; San Francisco; Shanghai, Sydney and Toronto.
That’s a small fraction of the roughly 4.5 million properties listed on Airbnb in 81,000
cities worldwide. By the end of the year, Chesky foresees verifying 75,000 homes in
50 cities.
Airbnb is shaking things up at a time its growth has been slowing, a trend the company
would like to reverse before it sells its stock in an initial public offering expected
within the next two years. Despite its popularity, Airbnb remains unprofitable, with a
loss of $75 million on revenue of nearly $2.6 billion last year, according to financial
statements reviewed by The Wall Street Journal.
During a presentation in San Francisco, Chesky announced other steps designed to
make Airbnb more like a traditional hospitality company instead of an industry
renegade that has siphoned business away from major hotels. Frequent travelers
will quality for discounts and other perks. The company also is adding other rental
categories, including bed-and-breakfast inns and boutique hotels.
A major hotel industry group slammed Airbnb’s expansion as a sham.
“Airbnb’s latest scheme is just further proof the company is trying to play in the
hoteling space while evading industry regulations,” said Troy Flanagan of the
American Hotel & Lodging Association. “If Airbnb wants to enter the hoteling
business, then it needs to be regulated, taxed and subject to the same safety compliances.”
Airbnb’s success since its inception a decade ago has drawn fire from city officials
upset about lost revenue from hotel taxes. It has also stirred protests from long-time
renters of homes that are being converted into short-term places to stay instead.
Airbnb’s critics contend the latter trend has been making it even more difficult to
find a place to live in cities such as San Francisco, where housing is already scarce
and expensive.
“There are things that we have done that have had negative impacts on cities and
we need to confront that,” Chesky conceded. But he said he still believes communities
have mostly benefited from Airbnb’s existence because it has helped people stay in
their homes, thanks to the additional money brought in from renting some of the
space whenever they want.


