Airbnb in London may soon have new rules

City hall could soon crack down on short-term rentals offered on websites like airbnb and Vrbo, due to concerns about nuisance complaints and the housing crisis.

On Tuesday, the City Council’s Community and Protective Services (CAPS) Committee considered a staff recommendation to create a new category of business license for short-term accommodation (STA) operating in London.

Short-term rentals would only be permitted on the host’s primary residential property, closing the door to out-of-town operators and multi-unit businesses.

“When you’ve gone out and bought a second property for the sole purpose of renting it out for the short term, it’s no longer a home,” the adviser said. Shawn Lewis told his colleagues. “This is an unlicensed hotel that you operate.”

According to a previous staff report, a survey of online platforms in the spring revealed 650 advertised properties in London, of which around 440 did not appear to be occupied by the accommodation provider.

Com. Maureen Cassidy warned that ATS contribute to the housing crisis by reducing supply.

“There are units in London that used to be long term rentals and they are no longer there for people who need them long term,” Cassidy said.

Hosting providers and online brokerage platforms would both need licenses.

London’s four per cent hotel room tax, which supports local tourism and other initiatives, would start to be charged on all rentals.

Some hosts repel.

“You take away the flexibility of housing,” warns Adam Wayland who operates several properties in the area as an STA. “We are still part of the housing stock and I think we are an important part of the housing stock.

Wayland said there was demand for multi-week or month-long rentals for temporary workers and the entertainment industry.

Additionally, some guests may not be comfortable staying at the same property as the host.

“Taking this money away from me is also taking money away from other people I employ as cleaners. It’s going to be a giant ripple effect,” he added.

But neighbors of problematic rentals say licensing is necessary to limit a long list of nuisances caused by non-host occupied STAs.

On Ewald Place, neighbors are already fed up with short-term accommodation that opened in the spring. The host would be a real estate investor who does not live in the house.

“An unpleasant experience,” is how Debra Rigby described the past two months. “Too many people, street noise, parties and no consideration for taking care of the property.”

“The board has a good idea if we can go ahead with the licensing,” she added.

The CAPS committee recommended approval of the new license.

“It’s out of control in some parts of the city. It needs to be cared for and allowed,” the adviser said. Mariam Hamou before offering this advice to multi-unit hosts. “I would suggest these people look into [converting to] long term rentals.

The Board will make a final decision on short-term accommodation licenses on June 14.

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