5 ms·
I wonder if these terms account for the potential impact on Airbnb's growth that all of the new regulations being proposed in places like NY and Europe could ha
by pyrophane 10y ago
I wonder if these terms account for the potential impact on Airbnb's growth that all of the new regulations being proposed in places like NY and Europe could have. A lot of effort is being put forth to curtail full-time entire apartment listings in several of the company's largest markets, and there is good reason to believe that those listings contribute significantly to their revenue.
For example, a study put forth by housing advocacy groups recently identified over 8,000 "impact listings" in NYC alone, which are essentially entire apartments being operated on a close to full-time basis. [1]. Certainly these groups are biased, but their methodology for finding full-time listings looks sound. I'll do a little quick math to consider the revenue and fees Airbnb may be collecting from those:
200 days a year rented (total guess on my part) * $120 (somewhat less than the average shown for a one night stay) * 8000 (full-time listings) = $192M total revenue
Or maybe around $19M in total fees collected from both hosts and guests. Granted, I could be way off here, but I think it shows how much money is potentially at stake in these listings that, if the current legislation on Cuomo's desk passes, could go away nearly overnight.
My point is that these new regulations appear to represent a substantial risk to Airbnb's continued growth. It makes me wonder how much this new raise might be earmarked for fighting cities on regulations and conducting an aggressive PR campaign to sway public opinion in their favor.
1. http://www.sharebetter.org/story/housing-report-short-changing-new-york-city/ http://www.sharebetter.org/story/housing-report-short-changi...
- deleted 10y ago[deleted]
- mylons 10y agoand also to fund their legal proceedings against the city of San Francisco. I really do not like that they're suing the city because a consequence of them winning seems to be more stifling of housing in the city available for those who live in the bay. http://www.nytimes.com/2016/06/29/technology/airbnb-sues-san-francisco-over-a-law-it-had-helped-pass.html http://www.nytimes.com/2016/06/29/technology/airbnb-sues-san...