Airbnb is fighting back against a planned restriction by Los Angeles City officials for how many days a person can rent out rooms or an entire house in Los Angeles. Airbnb, for those that have not heard of the company, is an app that you can download on your phone and then rent a room or a house from someone that has posted their residence on the app. Airbnb is claiming that the City of Los Angeles will lose out on money if they place restrictions on the amount of time that a person can rent out a room or a house. The Los Angeles Times writes:
In a letter to city officials, Airbnb estimated that over a full year, its hosts would hand over $37 million in lodging taxes for Los Angeles. If L.A. caps those rentals at 180 days annually and allows hosts to rent out only their primary residence — as currently proposed at City Hall — the city would lose $15 million of that possible revenue, the company estimated. Airbnb added that if the city imposed an even stiffer cap favored by its critics, limiting short-term rentals to 60 days each year, Los Angeles could lose out on $24 million in possible revenue annually. The company said that could make it harder for the city to fund critically needed programs such as housing for the homeless.
The hotel industry, which was greatly impacted by the rise of Airbnb, has teamed up with neighborhood activists to advocate for stricter restrictions for Airbnb. Some areas of Los Angeles are restricted from renting out their rooms or houses for short periods because of the fear of commercializing the rentals.
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