Sydney used to have a problem with unscrupulous entrepreneurs who would (say) buy up a bunch of three-bedroom apartments in a fancy inner-city building, stuff s

Sydney used to have a problem with unscrupulous entrepreneurs who would (say) buy up a bunch of three-bedroom apartments in a fancy inner-city building, stuff sixteen beds into it, and rent the beds out to foreign backpackers for (say) fifteen bucks a night. For the backpackers, it was better than the regular hostels, and for the owners it was a license to print money, but for the other residents of the building, who would find the pool and gardens filled with drunk poms at all hours of day and night, it was pretty annoying. Eventually I think they came up with some new law to stop it. Anyway, if airbnb is smart they should try to stop people from abusing their system by trying to set up pseudo-hotels, since it's these people who are going to bring down the regulatory hammer on the entire system.