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Short stay operators should be regulated: TAA

Tourism Accommodation Australia (TAA) has taken issue with the New South Wales government giving the green light for property owners to rent out entire homes via home sharing platform Airbnb.

While the government has pledged to do more consultation following a parliamentary inquiry, TAA CEO, Carol Giuseppi said that was all well and good but regulation was needed.

Specifically, she said rules needed to be brought into place to stop commercial operators   exploiting the new online distribution system and operating ‘quasi hotels’ that fail to comply with the fire safety, disability access, employment, insurance and taxation requirements required of other commercial accommodation operators.

Without regulations, these properties would be open for exploitation.

 “Sydney and regional areas need to be differentiated in the new regulatory framework,” Ms Giuseppi said. “Holiday houses in regional areas are not the main issue. It is the prospect of houses and apartment blocks being turned into quasi hotels and impacting residents, communities and legitimate operators that should be the most pressing issue for Government to address”

She said research shows that 35 per cent of Airbnb listings in Sydney are available 365 days a year and are operating as fully commercial property businesses. Indeed, an increasing proportion are now operating as multi-property businesses.”

“This is not sharing,” she said. “It is essential that adequate regulations be imposed on non-resident commercial property investors who rent out full properties for short term stays.”

The TAA has also recommended setting a specific time limit to be placed on short-term letting of properties, allowing owners to rent out their property while on holidays, but not as a commercial business.

“This needs to be supported by a register of properties to improve transparency and compliance and better inform government and industry planning,” she said.

“It is important that investor confidence is sustained as Sydney is currently undergoing the largest-ever expansion of its hotel sector, with the 40 hotels and 8000 rooms under development or in planning set to inject over $4 billion into the local economy and create thousands of sustainable jobs.”

by Leon Gettler - 25th April 2017