Airbnb’s Push for NYC Revival Gutted by Legislation

Homeowners and Airbnb hosts are not going to get much of a reprieve from New York City Council on Local Law 18. Some are blaming the lobbying efforts of the hotel industry.

Councilmember Farah Louis in November introduced a bill that included carveouts for the short-term rental law, pushing back on the crackdown on short-term rentals in the city, which has effectively rendered Airbnb obsolete. But a series of amendments have rendered the bill a shell of its former self, Gothamist reported.

Under the proposed bill, more short-term rentals would be permitted in single- and two-family homes. Owners of those properties would be able to get around the city’s rules — specifically the requirement of being present — if the rentals were registered with the city.

But Louis has since amended the legislation, which carried the support of Council Speaker Adrienne Adams. The only change left in the legislation is a provision that would allow owners and occupants to lock parts of their homes while guests are present.

Louis claimed the bill was watered down under pressure of legal concerns and possible conflicts with building and housing rules. Skeptics, however, claim Louis was influenced by the hotel industry.

“Moving forward, my office will continue working with the bill’s co-sponsors and all stakeholders to refine this legislation,” Louis said.

The hotel council’s policy director, Bhav Tibrewal, claimed it was the “height of hypocrisy” that Airbnb complained about the union’s influence.

When the city’s crackdown on short-term rentals began in September 2023, platforms were no longer able to process payments to hosts that were either unregistered with the city or didn’t have approval to rent their properties for fewer than 30 days. In an instant, 10,000 Airbnb listings vanished.

Since then, Airbnb and property owners have fought to mitigate the restrictions they face. Airbnb has created a SuperPAC to support City Council candidates who want to relax short-term rental rules.

— Holden Walter-Warner