Airbnb’s ramping up lobbying to reverse NYC’s restrictions on short-term rentals
More than cleaning fees… Airbnb is waging a pricey lobbying campaign to reverse NYC’s strict short-term-rental rules: it’s reportedly spending $5M to back politicians who support home sharing and tourism. Refresher: in 2023, Gotham tried to curb its housing shortage by imposing strict rules for stays under 30 days. It included requiring hosts to stay onsite during rental periods and capping guests at two.
Check-out: Within a year of the new restrictions, Airbnb had lost 80% of its NYC listings and millions in revenue. Meanwhile, the average hotel-room rate in September hit a record $417/night.
Not just New York… Airbnb’s urged other cities to rethink rental crackdowns, notably Barcelona, which plans to ban short-term rentals by 2029.
Lobby in the lobby… Rental platforms like Airbnb and Expedia’s Vrbo thrived during the postpandemic “revenge travel” era. But the boom in vacay rentals sparked lobbying from the hotel industry and scrutiny from city governments, leading to new rules. Last year, short-term-rental supply slowed in 17 of North America’s 30 largest cities. Now, platforms are fighting back.
Payback: Airbnb dropped $1M+ to lobby NY lawmakers last year — more than it spent lobbying in the state over the previous five years combined. Expedia reportedly boosted its annual lobbying spend by 60% last year.
It pays to pay up… Corporate lobbying has soared as companies splurge to influence policies. The crypto industry spent $130M to support pro-crypto candidates during the 2024 elections, and it worked. In 2015, Airbnb coughed up $8M+ to defeat a ballot measure that would've imposed stricter rental rules in San Francisco, and achieved its goal.