Questions/prompts Free market advocates have quickly fallen in love with the market sharing companies (e.g., AirBnB, Uber), seeing them as the marketplace in action, while progressives tend to deride the “sharing” economy as an attack on labor unions that will choke off local government from the critical tax revenue it garners from traditional hotels.
1. Defend your position: Are you for or against market sharing companies/economies (free market or progressive) Why or why not?
2. Is market sharing companies and economies good or bad for tourism and travelers? Why or why not?
Please defend your position and opinion with facts and figures. Provide references as necessary.
PLEASE have Brief Introduction § Introduce the topic to the reader and summarize your reflection of this topic/article.
Body § Address the following prompts as prescribed in the assignment. Include 3-4 examples for each prompt
o Conclusion § Conclude the reflection paper by summarizing your comments and main points to the reader.
o References § Include any references that were used in your reflection paper including the main authors. Use APA style.
San
Francisco State University, College of
Business, Department of Hospitality and
Tourism Management
HTM 424 – Tourism Management
Assignment – Air BnB and other Market Sharing Companies
Instructions: You are required to answer the following questions. You should
save your answers in a Word document for submission. Please do not repeat the
questions on your answer sheet. Instead, please list the answers
numerically/sequentially by simply utilizing 1, 2, 3, and 4. Each assignment must
have a cover page listing your name, the name of the assignment, and the date.
The cover page does not count towards the word count. For each assignment, you
are expected to answer the assigned questions in your own words. Each
assignment paper should be at least 250 words. Papers less than the
required 250 words will get zero. This does not mean each question requires a
250-word response; rather, the total number of words for answering the
questions must total more than 250 words.
Assignment – Read the assigned articles posted on iLearn then answer the
questions/prompts below.
The sharing economy has become a bone of contention as it has become a
disruptive force in numerous industries, particularly the taxi industry thanks to
Uber and Lyft, which has been protected from competition by state and local
laws. Protectionism, as any Economics 101 student could attest, leads to poor
services, lack of innovation and poor pricing. Companies like Lyft and Uber have
created competition where it was essentially was non-existent and the existing taxi
industry has been forced to respond to the altered competitive landscape.
The philosophical debate over Airbnb other aspects of the sharing economy
typically divide along the political (red and blue) axis. Free market advocates have
quickly fallen in love with these companies, seeing them as the marketplace in
action, while progressives tend to deride the “sharing” economy as an attack on
labor unions that will choke off local government from the critical tax revenue it
garners from traditional hotels. Unsurprisingly, Hillary Clinton has promised to get
government heavily involved in regulating different aspects of sharing economy
companies.
Readings
• Please read the assigned articles posted on iLearn regarding AirBnB and
other market sharing companies.
Questions/prompts
Free market advocates have quickly fallen in love with the market sharing
companies (e.g., AirBnB, Uber), seeing them as the marketplace in action, while
progressives tend to deride the “sharing” economy as an attack on labor unions
that will choke off local government from the critical tax revenue it garners from
traditional hotels.
1. Defend your position: Are you for or against market sharing
companies/economies (free market or progressive) Why or why not?
2. Is market sharing companies and economies good or bad for tourism
and travelers? Why or why not?
Please defend your position and opinion with facts and figures. Provide
references as necessary.
Sample Reflection Paper Format/Outline
• The following outline should be used for your reflection paper. You are not
required to use the titles (e.g., Brief Introduction, Body, etc.) but should use
this general format when writing your paper.
• Cover Page
o Title of paper to include the following:
o Reflection Paper Title
o Student Name and ID
o Course Title and Section
o Professor Name and Title
o Due Date of Submission
• Main Paper
o Brief Introduction
§ Introduce the topic to the reader and summarize your
reflection of this topic/article.
o Body
§ Address the following prompts as prescribed in the
assignment. Include 3-4 examples for each prompt
o Conclusion
§ Conclude the reflection paper by summarizing your comments
and main points to the reader.
o References
§ Include any references that were used in your reflection paper
including the main authors. Use APA style.
Plagiarism – Unless noted otherwise, assignments will be submitted through
Turnitin.com. It is strongly encouraged that you provide citations for any
source/reference that is used in your writing. Turnitin.com provides both a “match”
analysis and grammar analysis. Your “match” rating must be under 20% and ideally
under 15%. Points will be deducted for high match ratings, including failure of the
assignment.
Reflection Paper Assignment Title Goes Here
John Q Student
HTM424 – Tourism Management
ID: 123456789
San Francisco State University
Faculty: Dr. Andrew Walls
January 1, 2000
1. Sed ut perspiciatis unde omnis iste natus error sit voluptatem accusantium
doloremque laudantium, totam rem aperiam, eaque ipsa quae ab illo inventore
veritatis et quasi architecto beatae vitae dicta sunt explicabo. Nemo enim ipsam
voluptatem quia voluptas sit aspernatur aut odit aut fugit, sed quia consequuntur
magni dolores eos qui ratione voluptatem sequi nesciunt. Neque porro quisquam est,
qui dolorem ipsum quia dolor sit amet, consectetur, adipisci velit, sed quia non
numquam eius modi tempora incidunt ut labore et dolore magnam aliquam quaerat
voluptatem. Ut enim ad minima veniam, quis nostrum exercitationem ullam corporis
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iure reprehenderit qui in ea voluptate velit esse quam nihil molestiae consequatur, vel
illum qui dolorem eum fugiat quo voluptas nulla pariatur. Neque porro quisquam est,
qui dolorem ipsum quia dolor sit amet, consectetur, adipisci velit, sed quia non
numquam eius modi tempora incidunt ut labore et dolore magnam aliquam quaerat
voluptatem. Ut enim ad minima veniam, quis nostrum exercitationem ullam corporis
suscipit laboriosam, nisi ut aliquid ex ea commodi consequatur? Quis autem vel eum
iure reprehenderit qui in ea voluptate velit esse quam nihil molestiae consequatur, vel
illum qui dolorem eum fugiat quo voluptas nulla pariatur
2. Sed ut perspiciatis unde omnis iste natus error sit voluptatem accusantium
doloremque laudantium, totam rem aperiam, eaque ipsa quae ab illo inventore
veritatis et quasi architecto beatae vitae dicta sunt explicabo. Nemo enim ipsam
voluptatem quia voluptas sit aspernatur aut odit aut fugit, sed quia consequuntur
magni dolores eos qui ratione voluptatem sequi nesciunt. Neque porro quisquam est,
qui dolorem ipsum quia dolor sit amet, consectetur, adipisci velit, sed quia non
numquam eius modi tempora incidunt ut labore et dolore magnam aliquam quaerat
voluptatem. Ut enim ad minima veniam, quis nostrum exercitationem ullam corporis
suscipit laboriosam, nisi ut aliquid ex ea commodi consequatur? Quis autem vel eum
iure reprehenderit qui in ea voluptate velit esse quam nihil molestiae consequatur, vel
illum qui dolorem eum fugiat quo voluptas nulla pariatur. Neque porro quisquam est,
qui dolorem ipsum quia dolor sit amet, consectetur, adipisci velit, sed quia non
numquam eius modi tempora incidunt ut labore et dolore magnam aliquam quaerat
voluptatem. Ut enim ad minima veniam, quis nostrum exercitationem ullam corporis
suscipit laboriosam, nisi ut aliquid ex ea commodi consequatur? Quis autem vel eum
iure reprehenderit qui in ea voluptate velit esse quam nihil molestiae consequatur, vel
illum qui dolorem eum fugiat quo voluptas nulla pariatur. Neque porro quisquam est,
qui dolorem ipsum quia dolor sit amet, consectetur, adipisci velit, sed quia non
numquam eius modi tempora incidunt ut labore et dolore magnam aliquam quaerat
voluptatem. Ut enim ad minima veniam, quis nostrum exercitationem ullam corporis
suscipit laboriosam, nisi ut aliquid ex ea commodi consequatur? Quis autem vel eum
iure reprehenderit qui in ea voluptate velit esse quam nihil molestiae consequatur, vel
illum qui dolorem eum fugiat quo voluptas nulla pariatur.
2/11/2019 How S.F.’s Airbnb listings skirt law, affect housing, yet win fans – SFChronicle.com
https://www.sfchronicle.com/realestate/article/How-S-F-s-Airbnb-listings-skirt-law-affect-5553235.php?cmpid=gsa-sfgate-result 1/6
B I Z & T E C H B I Z & T E C H B I Z & T E C H // // // R E A L E S TAT ER E A L E S TAT ER E A L E S TAT E
How S.F.’s Airbnb listings skirt law, affectHow S.F.’s Airbnb listings skirt law, affectHow S.F.’s Airbnb listings skirt law, affect
housing, yet win fanshousing, yet win fanshousing, yet win fans
How some , impromptu listings skirt the law, affect housing supply – yet find favorHow some , impromptu listings skirt the law, affect housing supply – yet find favorHow some , impromptu listings skirt the law, affect housing supply – yet find favor
with travelers, hostswith travelers, hostswith travelers, hosts
Carolyn SaidCarolyn SaidCarolyn Said
June , June , June , Updated: June , : p.m.Updated: June , : p.m.Updated: June , : p.m.
https://www.sfchronicle.com/author/carolyn-said/
2/11/2019 How S.F.’s Airbnb listings skirt law, affect housing, yet win fans – SFChronicle.com
https://www.sfchronicle.com/realestate/article/How-S-F-s-Airbnb-listings-skirt-law-affect-5553235.php?cmpid=gsa-sfgate-result 2/6
Thousands of San Franciscans have transformed their homes into impromptuThousands of San Franciscans have transformed their homes into impromptuThousands of San Franciscans have transformed their homes into impromptu
inns using Airbnb, the website that lets people rent rooms or houses to travelers.inns using Airbnb, the website that lets people rent rooms or houses to travelers.inns using Airbnb, the website that lets people rent rooms or houses to travelers.
These short-term rentals haven’t been an easy sell to landlords, housing activistsThese short-term rentals haven’t been an easy sell to landlords, housing activistsThese short-term rentals haven’t been an easy sell to landlords, housing activists
and others who say they flout the law, violate leases, remove scarce housingand others who say they flout the law, violate leases, remove scarce housingand others who say they flout the law, violate leases, remove scarce housing
stock, drive up rents and annoy neighbors. But the scale of Airbnb’s impact onstock, drive up rents and annoy neighbors. But the scale of Airbnb’s impact onstock, drive up rents and annoy neighbors. But the scale of Airbnb’s impact on
San Francisco has been hard to measure – until now.San Francisco has been hard to measure – until now.San Francisco has been hard to measure – until now.
Although the company refuses to release numbers, a data analysisAlthough the company refuses to release numbers, a data analysisAlthough the company refuses to release numbers, a data analysis
commissioned by The Chronicle found almost 5,000 San Francisco homes,commissioned by The Chronicle found almost 5,000 San Francisco homes,commissioned by The Chronicle found almost 5,000 San Francisco homes,
apartments, and private or shared rooms for rent via Airbnb. Two-thirds wereapartments, and private or shared rooms for rent via Airbnb. Two-thirds wereapartments, and private or shared rooms for rent via Airbnb. Two-thirds were
entire houses or apartments, showing how far Airbnb has come from its couch-entire houses or apartments, showing how far Airbnb has come from its couch-entire houses or apartments, showing how far Airbnb has come from its couch-
surfer origins, and contradicting its portrayal as a service for people who rent outsurfer origins, and contradicting its portrayal as a service for people who rent outsurfer origins, and contradicting its portrayal as a service for people who rent out
a spare room and interact with guests.a spare room and interact with guests.a spare room and interact with guests.
And 160 entire homes or apartments seem to be rented full time, giving weight toAnd 160 entire homes or apartments seem to be rented full time, giving weight toAnd 160 entire homes or apartments seem to be rented full time, giving weight to
arguments that the service is allowing landlords to flout strict rental laws.arguments that the service is allowing landlords to flout strict rental laws.arguments that the service is allowing landlords to flout strict rental laws.
Connotate Inc., a Web data harvesting firm, compiled the data from Airbnb’sConnotate Inc., a Web data harvesting firm, compiled the data from Airbnb’sConnotate Inc., a Web data harvesting firm, compiled the data from Airbnb’s
website on May 19.website on May 19.website on May 19.
“In a city that has chronic housing shortages, the number of Airbnb homes that”In a city that has chronic housing shortages, the number of Airbnb homes that”In a city that has chronic housing shortages, the number of Airbnb homes that
appear to not be available on the rental market is significant,” said Laura Teller,appear to not be available on the rental market is significant,” said Laura Teller,appear to not be available on the rental market is significant,” said Laura Teller,
Connotate chief strategy officer.Connotate chief strategy officer.Connotate chief strategy officer.
Here is a breakdown of findings:Here is a breakdown of findings:Here is a breakdown of findings:
$, This Pacic Heights mansion is the priciest listing on Airbnb – a graceful chateau in one of the$, This Pacic Heights mansion is the priciest listing on Airbnb – a graceful chateau in one of the$, This Pacic Heights mansion is the priciest listing on Airbnb – a graceful chateau in one of the
city’s most opulent neighborhoods. Two-thirds of San Francisco listings are for entire houses orcity’s most opulent neighborhoods. Two-thirds of San Francisco listings are for entire houses orcity’s most opulent neighborhoods. Two-thirds of San Francisco listings are for entire houses or
apartments.apartments.apartments.
Photo: Leah Millis, The ChroniclePhoto: Leah Millis, The ChroniclePhoto: Leah Millis, The Chronicle
2/11/2019 How S.F.’s Airbnb listings skirt law, affect housing, yet win fans – SFChronicle.com
https://www.sfchronicle.com/realestate/article/How-S-F-s-Airbnb-listings-skirt-law-affect-5553235.php?cmpid=gsa-sfgate-result 3/6
— How many rentals? — How many rentals? — How many rentals? Airbnb had 4,798 properties listed in the city. Almost two-Airbnb had 4,798 properties listed in the city. Almost two-Airbnb had 4,798 properties listed in the city. Almost two-
thirds – 2,984 – were entire houses or apartments.thirds – 2,984 – were entire houses or apartments.thirds – 2,984 – were entire houses or apartments.
Of the remainder, 1,651 were private rooms and 163 were shared rooms. Dozens ofOf the remainder, 1,651 were private rooms and 163 were shared rooms. Dozens ofOf the remainder, 1,651 were private rooms and 163 were shared rooms. Dozens of
shared spaces were in communal “hacker hostels” that offer crash space and ashared spaces were in communal “hacker hostels” that offer crash space and ashared spaces were in communal “hacker hostels” that offer crash space and a
place to make tech-industry connections.place to make tech-industry connections.place to make tech-industry connections.
— How often?– How often?– How often? Critics fear that some Airbnb hosts run full-time hotels, thus Critics fear that some Airbnb hosts run full-time hotels, thus Critics fear that some Airbnb hosts run full-time hotels, thus
reducing the city’s housing supply and changing the character of residentialreducing the city’s housing supply and changing the character of residentialreducing the city’s housing supply and changing the character of residential
neighborhoods.neighborhoods.neighborhoods.
Connotate could not determine how often properties were rented out, nor if theyConnotate could not determine how often properties were rented out, nor if theyConnotate could not determine how often properties were rented out, nor if they
were available on the date it harvested the data. But, like a bread-crumb trail,were available on the date it harvested the data. But, like a bread-crumb trail,were available on the date it harvested the data. But, like a bread-crumb trail,
reviews left by visitors offer some insights on frequency of use. (Not all visitorsreviews left by visitors offer some insights on frequency of use. (Not all visitorsreviews left by visitors offer some insights on frequency of use. (Not all visitors
write reviews, so this underestimates usage.)write reviews, so this underestimates usage.)write reviews, so this underestimates usage.)
About two-thirds of listings had fewer than 10 reviews, fitting Airbnb’s portrayalAbout two-thirds of listings had fewer than 10 reviews, fitting Airbnb’s portrayalAbout two-thirds of listings had fewer than 10 reviews, fitting Airbnb’s portrayal
of occasional use.of occasional use.of occasional use.
A quarter had 11 to 50 reviews. Most properties have been on the site for only aA quarter had 11 to 50 reviews. Most properties have been on the site for only aA quarter had 11 to 50 reviews. Most properties have been on the site for only a
couple of years, meaning that this group hosted up to twice a month.couple of years, meaning that this group hosted up to twice a month.couple of years, meaning that this group hosted up to twice a month.
However 6.4 percent – 307 listings – had more than 50 reviews, implying heavy orHowever 6.4 percent – 307 listings – had more than 50 reviews, implying heavy orHowever 6.4 percent – 307 listings – had more than 50 reviews, implying heavy or
constant visitor traffic.constant visitor traffic.constant visitor traffic.
These popular properties included 160 entire homes or apartments, 140 privateThese popular properties included 160 entire homes or apartments, 140 privateThese popular properties included 160 entire homes or apartments, 140 private
rooms and seven shared rooms.rooms and seven shared rooms.rooms and seven shared rooms.
— — — Who hosts? Who hosts? Who hosts? The bulk of San Francisco’s 3,785 hosts – 3,272, or 86.4 percent – hadThe bulk of San Francisco’s 3,785 hosts – 3,272, or 86.4 percent – hadThe bulk of San Francisco’s 3,785 hosts – 3,272, or 86.4 percent – had
a single listing, buttressing Airbnb’s claim that most rent out their own places.a single listing, buttressing Airbnb’s claim that most rent out their own places.a single listing, buttressing Airbnb’s claim that most rent out their own places.
But the remaining 513 hosts control multiple properties.But the remaining 513 hosts control multiple properties.But the remaining 513 hosts control multiple properties.
2/11/2019 How S.F.’s Airbnb listings skirt law, affect housing, yet win fans – SFChronicle.com
https://www.sfchronicle.com/realestate/article/How-S-F-s-Airbnb-listings-skirt-law-affect-5553235.php?cmpid=gsa-sfgate-result 4/6
When broken down by properties, the presence of these multiple hosts is moreWhen broken down by properties, the presence of these multiple hosts is moreWhen broken down by properties, the presence of these multiple hosts is more
prominent.prominent.prominent.
A total of 1,526 properties – almost a third – are controlled by people with two orA total of 1,526 properties – almost a third – are controlled by people with two orA total of 1,526 properties – almost a third – are controlled by people with two or
more listings. The top 10 hosts collectively controlled 248 listings.more listings. The top 10 hosts collectively controlled 248 listings.more listings. The top 10 hosts collectively controlled 248 listings.
Some of these multiple-listers were property managers handling Airbnb rentalsSome of these multiple-listers were property managers handling Airbnb rentalsSome of these multiple-listers were property managers handling Airbnb rentals
on behalf of hosts who want to avoid the hassle; some were people offering twoon behalf of hosts who want to avoid the hassle; some were people offering twoon behalf of hosts who want to avoid the hassle; some were people offering two
different rooms in their homes.different rooms in their homes.different rooms in their homes.
In New York City, a Connotate study found evidence of large-scale illegal hotels.In New York City, a Connotate study found evidence of large-scale illegal hotels.In New York City, a Connotate study found evidence of large-scale illegal hotels.
The Chronicle didn’t find that. However, some hosts with multiple listings couldThe Chronicle didn’t find that. However, some hosts with multiple listings couldThe Chronicle didn’t find that. However, some hosts with multiple listings could
be treating a handful of units as more-lucrative vacation rentals.be treating a handful of units as more-lucrative vacation rentals.be treating a handful of units as more-lucrative vacation rentals.
— What does it cost?– What does it cost?– What does it cost? Citywide, entire homes or apartments averaged $226 a night, Citywide, entire homes or apartments averaged $226 a night, Citywide, entire homes or apartments averaged $226 a night,
private rooms $116 and shared rooms $80. Whole houses ranged from $337 aprivate rooms $116 and shared rooms $80. Whole houses ranged from $337 aprivate rooms $116 and shared rooms $80. Whole houses ranged from $337 a
night in Cow Hollow to $125 in Visitacion Valley.night in Cow Hollow to $125 in Visitacion Valley.night in Cow Hollow to $125 in Visitacion Valley.
The priciest listing: a Pacific Heights mansion for $6,000 a night.The priciest listing: a Pacific Heights mansion for $6,000 a night.The priciest listing: a Pacific Heights mansion for $6,000 a night.
The cheapest: a shared downtown living room for $18.The cheapest: a shared downtown living room for $18.The cheapest: a shared downtown living room for $18.
— Where are the listings?– Where are the listings?– Where are the listings? Airbnb’s footprint spreads throughout San Francisco, Airbnb’s footprint spreads throughout San Francisco, Airbnb’s footprint spreads throughout San Francisco,
ranging from the Great Highway to South Beach.ranging from the Great Highway to South Beach.ranging from the Great Highway to South Beach.
The Mission had 681 listings, the equivalent of two Marriott Union Squares.The Mission had 681 listings, the equivalent of two Marriott Union Squares.The Mission had 681 listings, the equivalent of two Marriott Union Squares.
Western Addition/NoPa, SoMa and the Castro were also popular locations.Western Addition/NoPa, SoMa and the Castro were also popular locations.Western Addition/NoPa, SoMa and the Castro were also popular locations.
By contrast, the city’s 34,000 hotel rooms are heavily clustered; about 20,000 areBy contrast, the city’s 34,000 hotel rooms are heavily clustered; about 20,000 areBy contrast, the city’s 34,000 hotel rooms are heavily clustered; about 20,000 are
within a short walk of Moscone Center.within a short walk of Moscone Center.within a short walk of Moscone Center.
Airbnb, valued at $10 billion – more than Hyatt Hotels or Wyndham Worldwide -Airbnb, valued at $10 billion – more than Hyatt Hotels or Wyndham Worldwide -Airbnb, valued at $10 billion – more than Hyatt Hotels or Wyndham Worldwide –
says its business model, which helps regular people become “micro-says its business model, which helps regular people become “micro-says its business model, which helps regular people become “micro-
2/11/2019 How S.F.’s Airbnb listings skirt law, affect housing, yet win fans – SFChronicle.com
https://www.sfchronicle.com/realestate/article/How-S-F-s-Airbnb-listings-skirt-law-affect-5553235.php?cmpid=gsa-sfgate-result 5/6
entrepreneurs,” should not be regulated in the same way as hotels.entrepreneurs,” should not be regulated in the same way as hotels.entrepreneurs,” should not be regulated in the same way as hotels.
The company has grown rapidly since its mid-2008 founding. Two years ago, itThe company has grown rapidly since its mid-2008 founding. Two years ago, itThe company has grown rapidly since its mid-2008 founding. Two years ago, it
had 1,800 San Francisco listings, a number that has almost tripled.had 1,800 San Francisco listings, a number that has almost tripled.had 1,800 San Francisco listings, a number that has almost tripled.
In fact, the number may have been higher just a few months ago. Many localIn fact, the number may have been higher just a few months ago. Many localIn fact, the number may have been higher just a few months ago. Many local
hosts reportedly have removed listings after news of evictions and codehosts reportedly have removed listings after news of evictions and codehosts reportedly have removed listings after news of evictions and code
violations.violations.violations.
San Francisco lawmakers now are tackling how to regulate Airbnb, VRBO,San Francisco lawmakers now are tackling how to regulate Airbnb, VRBO,San Francisco lawmakers now are tackling how to regulate Airbnb, VRBO,
FlipKey and similar services, which violate the city’s ban on rentals of less thanFlipKey and similar services, which violate the city’s ban on rentals of less thanFlipKey and similar services, which violate the city’s ban on rentals of less than
30 days.30 days.30 days.
Supervisor David Chiu has introduced legislation to legalize the services whileSupervisor David Chiu has introduced legislation to legalize the services whileSupervisor David Chiu has introduced legislation to legalize the services while
creating a stricter framework for their operations, including paying the city’s 14creating a stricter framework for their operations, including paying the city’s 14creating a stricter framework for their operations, including paying the city’s 14
percent hotel tax, something Airbnb says it will start this summer.percent hotel tax, something Airbnb says it will start this summer.percent hotel tax, something Airbnb says it will start this summer.
“From a policy perspective, the real issue is whether there are a lot of units that”From a policy perspective, the real issue is whether there are a lot of units that”From a policy perspective, the real issue is whether there are a lot of units that
have been removed from the housing market because of short-term rentals,” saidhave been removed from the housing market because of short-term rentals,” saidhave been removed from the housing market because of short-term rentals,” said
Gabriel Metcalf, executive director of SPUR, an urban design think tank. “It looksGabriel Metcalf, executive director of SPUR, an urban design think tank. “It looksGabriel Metcalf, executive director of SPUR, an urban design think tank. “It looks
like that’s not a big number yet, but that’s what we need regulation to control solike that’s not a big number yet, but that’s what we need regulation to control solike that’s not a big number yet, but that’s what we need regulation to control so
it doesn’t become big.”it doesn’t become big.”it doesn’t become big.”
MethodologyMethodologyMethodology
Web data extraction firm Connotate Inc. of New Brunswick, N.J., createdWeb data extraction firm Connotate Inc. of New Brunswick, N.J., createdWeb data extraction firm Connotate Inc. of New Brunswick, N.J., created
automated scripts that harvested information on San Francisco listings from theautomated scripts that harvested information on San Francisco listings from theautomated scripts that harvested information on San Francisco listings from the
Airbnb website over the course of several hours on May 19. Data included hosts,Airbnb website over the course of several hours on May 19. Data included hosts,Airbnb website over the course of several hours on May 19. Data included hosts,
properties, neighborhoods, rates and ratings. Connotate then removedproperties, neighborhoods, rates and ratings. Connotate then removedproperties, neighborhoods, rates and ratings. Connotate then removed
duplicates and performed other quality-assurance measures. Connotate was notduplicates and performed other quality-assurance measures. Connotate was notduplicates and performed other quality-assurance measures. Connotate was not
able to determine which listings were available for rent that night. Some mayable to determine which listings were available for rent that night. Some mayable to determine which listings were available for rent that night. Some may
have been available; some may have been already rented via Airbnb and somehave been available; some may have been already rented via Airbnb and somehave been available; some may have been already rented via Airbnb and some
may have not been offered at that time.may have not been offered at that time.may have not been offered at that time.
2/11/2019 How S.F.’s Airbnb listings skirt law, affect housing, yet win fans – SFChronicle.com
https://www.sfchronicle.com/realestate/article/How-S-F-s-Airbnb-listings-skirt-law-affect-5553235.php?cmpid=gsa-sfgate-result 6/6
© Hearst© Hearst© Hearst
https://www.sfchronicle.com/
2/11/2019 Airbnb loses thousands of hosts in SF as registration rules kick in – SFChronicle.com
https://www.sfchronicle.com/business/article/Airbnb-loses-thousands-of-hosts-in-SF-as-12496624.php 1/7
B I Z & T E C H B I Z & T E C H B I Z & T E C H // // // B U S I N E S SB U S I N E S SB U S I N E S S
Airbnb loses thousands of hosts in SF asAirbnb loses thousands of hosts in SF asAirbnb loses thousands of hosts in SF as
registration rules kick inregistration rules kick inregistration rules kick in
Carolyn SaidCarolyn SaidCarolyn Said
Jan. , Jan. , Jan. , Updated: Jan. , a.m.Updated: Jan. , a.m.Updated: Jan. , a.m.
Gustav Choto (left) talks with Omar Masry, senior analyst at the short-term rental oce. Hosts in SanGustav Choto (left) talks with Omar Masry, senior analyst at the short-term rental oce. Hosts in SanGustav Choto (left) talks with Omar Masry, senior analyst at the short-term rental oce. Hosts in San
Francisco for Airbnb and other services must register properties by Tuesday.Francisco for Airbnb and other services must register properties by Tuesday.Francisco for Airbnb and other services must register properties by Tuesday.
Photo: Carlos Avila Gonzalez, The ChroniclePhoto: Carlos Avila Gonzalez, The ChroniclePhoto: Carlos Avila Gonzalez, The Chronicle
https://www.sfchronicle.com/author/carolyn-said/
2/11/2019 Airbnb loses thousands of hosts in SF as registration rules kick in – SFChronicle.com
https://www.sfchronicle.com/business/article/Airbnb-loses-thousands-of-hosts-in-SF-as-12496624.php 2/7
Thousands of San Francisco hosts on Airbnb and rival home-stay sites haveThousands of San Francisco hosts on Airbnb and rival home-stay sites haveThousands of San Francisco hosts on Airbnb and rival home-stay sites have
stopped renting their homes and rooms to tourists. Many others are scramblingstopped renting their homes and rooms to tourists. Many others are scramblingstopped renting their homes and rooms to tourists. Many others are scrambling
to register their vacation rentals with the city as a Tuesday deadline looms forto register their vacation rentals with the city as a Tuesday deadline looms forto register their vacation rentals with the city as a Tuesday deadline looms for
Airbnb and HomeAway to kick off unregistered hosts.Airbnb and HomeAway to kick off unregistered hosts.Airbnb and HomeAway to kick off unregistered hosts.
“If you look at the sites, you’ll notice a substantial reduction in the number of“If you look at the sites, you’ll notice a substantial reduction in the number of“If you look at the sites, you’ll notice a substantial reduction in the number of
listings,” said Kevin Guy, director of the San Francisco Office of Short-Termlistings,” said Kevin Guy, director of the San Francisco Office of Short-Termlistings,” said Kevin Guy, director of the San Francisco Office of Short-Term
Rental Administration and Enforcement.Rental Administration and Enforcement.Rental Administration and Enforcement.
The rush to register is the result of an agreement between the city and the sites,The rush to register is the result of an agreement between the city and the sites,The rush to register is the result of an agreement between the city and the sites,
which had fought San Francisco’s efforts to strengthen registration requirementswhich had fought San Francisco’s efforts to strengthen registration requirementswhich had fought San Francisco’s efforts to strengthen registration requirements
and rental limitations imposed in 2015. After a court battle, San Francisco,and rental limitations imposed in 2015. After a court battle, San Francisco,and rental limitations imposed in 2015. After a court battle, San Francisco,
Airbnb and HomeAway reached a settlement in May that required the sites toAirbnb and HomeAway reached a settlement in May that required the sites toAirbnb and HomeAway reached a settlement in May that required the sites to
register all hosts in phases starting in September.register all hosts in phases starting in September.register all hosts in phases starting in September.
By Tuesday, all hosts must be registered. Airbnb and HomeAway won’t allowBy Tuesday, all hosts must be registered. Airbnb and HomeAway won’t allowBy Tuesday, all hosts must be registered. Airbnb and HomeAway won’t allow
unregistered hosts on their sites, and other services, like FlipKey, which weren’tunregistered hosts on their sites, and other services, like FlipKey, which weren’tunregistered hosts on their sites, and other services, like FlipKey, which weren’t
a party to the settlement, will face fines of up to $1,000 a day per listing anda party to the settlement, will face fines of up to $1,000 a day per listing anda party to the settlement, will face fines of up to $1,000 a day per listing and
criminal penalties if they help arrange bookings of unregistered listings.criminal penalties if they help arrange bookings of unregistered listings.criminal penalties if they help arrange bookings of unregistered listings.
The city said 2,168 hosts had met its requirements to offer temporary rentals asThe city said 2,168 hosts had met its requirements to offer temporary rentals asThe city said 2,168 hosts had met its requirements to offer temporary rentals as
of Thursday — representing a fraction of the 8,453 Airbnb listings the cityof Thursday — representing a fraction of the 8,453 Airbnb listings the cityof Thursday — representing a fraction of the 8,453 Airbnb listings the city
observed in early August. (That count excludes more than 2,500 listings exemptobserved in early August. (That count excludes more than 2,500 listings exemptobserved in early August. (That count excludes more than 2,500 listings exempt
from the rules.) An additional 737 have submitted applications and can hostfrom the rules.) An additional 737 have submitted applications and can hostfrom the rules.) An additional 737 have submitted applications and can host
while those are pending. About 15 percent of them have more than one listing,while those are pending. About 15 percent of them have more than one listing,while those are pending. About 15 percent of them have more than one listing,
such as two rooms in their home.such as two rooms in their home.such as two rooms in their home.
The number is in flux: Some pending applications may be rejected, while aboutThe number is in flux: Some pending applications may be rejected, while aboutThe number is in flux: Some pending applications may be rejected, while about
two dozen applications a day are still arriving. Hosts can still apply aftertwo dozen applications a day are still arriving. Hosts can still apply aftertwo dozen applications a day are still arriving. Hosts can still apply after
Tuesday, but any bookings will be canceled until they are registered.Tuesday, but any bookings will be canceled until they are registered.Tuesday, but any bookings will be canceled until they are registered.
2/11/2019 Airbnb loses thousands of hosts in SF as registration rules kick in – SFChronicle.com
https://www.sfchronicle.com/business/article/Airbnb-loses-thousands-of-hosts-in-SF-as-12496624.php 3/7
Airbnb, which got its start in San Francisco just under a decade ago and is stillAirbnb, which got its start in San Francisco just under a decade ago and is stillAirbnb, which got its start in San Francisco just under a decade ago and is still
headquartered here, is by far the city’s biggest vacation-rental site. It says thatheadquartered here, is by far the city’s biggest vacation-rental site. It says thatheadquartered here, is by far the city’s biggest vacation-rental site. It says that
most hosts are residents who rent out spare rooms, or their entire home whenmost hosts are residents who rent out spare rooms, or their entire home whenmost hosts are residents who rent out spare rooms, or their entire home when
they are away, making them compliant with city laws.they are away, making them compliant with city laws.they are away, making them compliant with city laws.
In addition, the company has about 2,650 listings in San Francisco that areIn addition, the company has about 2,650 listings in San Francisco that areIn addition, the company has about 2,650 listings in San Francisco that are
exempt from the registration requirement, including rentals of 30 or more days,exempt from the registration requirement, including rentals of 30 or more days,exempt from the registration requirement, including rentals of 30 or more days,
bed and breakfasts, and hotels.bed and breakfasts, and hotels.bed and breakfasts, and hotels.
“Over the last few months, we’ve focused on educating our host community“Over the last few months, we’ve focused on educating our host community“Over the last few months, we’ve focused on educating our host community
about the registration process, and will continue our outreach efforts in the finalabout the registration process, and will continue our outreach efforts in the finalabout the registration process, and will continue our outreach efforts in the final
days to ensure hosts have all the information they need to register,” saiddays to ensure hosts have all the information they need to register,” saiddays to ensure hosts have all the information they need to register,” said
spokeswoman Mattie Zazueta.spokeswoman Mattie Zazueta.spokeswoman Mattie Zazueta.
Airbnb has removed more than 2,600 listings since September. It doesn’t yetAirbnb has removed more than 2,600 listings since September. It doesn’t yetAirbnb has removed more than 2,600 listings since September. It doesn’t yet
know how many more it must ax Tuesday. Many listings had little activity, soknow how many more it must ax Tuesday. Many listings had little activity, soknow how many more it must ax Tuesday. Many listings had little activity, so
their removal won’t hurt its local business, she said.their removal won’t hurt its local business, she said.their removal won’t hurt its local business, she said.
Airbnb said it booked the same number of nights in San Francisco in the 30 daysAirbnb said it booked the same number of nights in San Francisco in the 30 daysAirbnb said it booked the same number of nights in San Francisco in the 30 days
after Dec. 5 as during the same period a year earlier. Worldwide, its businessafter Dec. 5 as during the same period a year earlier. Worldwide, its businessafter Dec. 5 as during the same period a year earlier. Worldwide, its business
soared during the same time frame. It booked 3 million guests globally for Newsoared during the same time frame. It booked 3 million guests globally for Newsoared during the same time frame. It booked 3 million guests globally for New
Year’s Eve — up 50 percent from the last night of 2016.Year’s Eve — up 50 percent from the last night of 2016.Year’s Eve — up 50 percent from the last night of 2016.
HomeAway and VRBO, both owned by Expedia, and FlipKey, owned byHomeAway and VRBO, both owned by Expedia, and FlipKey, owned byHomeAway and VRBO, both owned by Expedia, and FlipKey, owned by
TripAdvisor, showcase many second homes, which San Francisco does not allowTripAdvisor, showcase many second homes, which San Francisco does not allowTripAdvisor, showcase many second homes, which San Francisco does not allow
to be offered as vacation rentals.to be offered as vacation rentals.to be offered as vacation rentals.
“FlipKey looks like a massacre happened, there are so few listings now,” said“FlipKey looks like a massacre happened, there are so few listings now,” said“FlipKey looks like a massacre happened, there are so few listings now,” said
Omar Masry, senior analyst at the Office of Short-Term Rentals. “On VRBO, youOmar Masry, senior analyst at the Office of Short-Term Rentals. “On VRBO, youOmar Masry, senior analyst at the Office of Short-Term Rentals. “On VRBO, you
A sign points to the desk where Senior Analyst Omar Masry helps Marcy Lipton with her paperwork forA sign points to the desk where Senior Analyst Omar Masry helps Marcy Lipton with her paperwork forA sign points to the desk where Senior Analyst Omar Masry helps Marcy Lipton with her paperwork for
hosting guests in her home at the Oce of Short Term Rentals in San Francisco, Calif., on Wednesday,hosting guests in her home at the Oce of Short Term Rentals in San Francisco, Calif., on Wednesday,hosting guests in her home at the Oce of Short Term Rentals in San Francisco, Calif., on Wednesday,
January , . San Francisco residents who wish to host guests host guests January , . San Francisco residents who wish to host guests host guests January , . San Francisco residents who wish to host guests host guests through Airbnb, VRBOthrough Airbnb, VRBOthrough Airbnb, VRBO
2/11/2019 Airbnb loses thousands of hosts in SF as registration rules kick in – SFChronicle.com
https://www.sfchronicle.com/business/article/Airbnb-loses-thousands-of-hosts-in-SF-as-12496624.php 4/7
can see that the map of San Francisco is no longer covered in pins (of availablecan see that the map of San Francisco is no longer covered in pins (of availablecan see that the map of San Francisco is no longer covered in pins (of available
properties). A shakeout is happening.”properties). A shakeout is happening.”properties). A shakeout is happening.”
FlipKey has removed 498 San Francisco listings and has only 57 remaining,FlipKey has removed 498 San Francisco listings and has only 57 remaining,FlipKey has removed 498 San Francisco listings and has only 57 remaining,
excluding those exempt from the registration requirement such as hotels,excluding those exempt from the registration requirement such as hotels,excluding those exempt from the registration requirement such as hotels,
timeshares and B&Bs, the city said.timeshares and B&Bs, the city said.timeshares and B&Bs, the city said.
TripAdvisor spokeswoman Laurel Greatrix said FlipKey worked closely with theTripAdvisor spokeswoman Laurel Greatrix said FlipKey worked closely with theTripAdvisor spokeswoman Laurel Greatrix said FlipKey worked closely with the
city to comply with the regulations, and noted that it offers a variety ofcity to comply with the regulations, and noted that it offers a variety ofcity to comply with the regulations, and noted that it offers a variety of
accommodations in San Francisco, such as hotels, hostels and B&Bs.accommodations in San Francisco, such as hotels, hostels and B&Bs.accommodations in San Francisco, such as hotels, hostels and B&Bs.
Data for HomeAway and VRBO were not immediately available. Data for HomeAway and VRBO were not immediately available. Data for HomeAway and VRBO were not immediately available. In May 2016,In May 2016,In May 2016,
they had about 1,300 local listings, a they had about 1,300 local listings, a they had about 1,300 local listings, a Chronicle investigationChronicle investigationChronicle investigation found. found. found.
“HomeAway remains committed to working through the law’s implementation“HomeAway remains committed to working through the law’s implementation“HomeAway remains committed to working through the law’s implementation
plan with the city and hope to continue our partnership on reasonable publicplan with the city and hope to continue our partnership on reasonable publicplan with the city and hope to continue our partnership on reasonable public
policy and enforcement in the new year.” said spokesman Philip Minardi.policy and enforcement in the new year.” said spokesman Philip Minardi.policy and enforcement in the new year.” said spokesman Philip Minardi.
Airbnb and HomeAway sued San Francisco in 2016 over a strict new law passedAirbnb and HomeAway sued San Francisco in 2016 over a strict new law passedAirbnb and HomeAway sued San Francisco in 2016 over a strict new law passed
in June of that year. A U.S. district judge rejected the companies’ arguments thatin June of that year. A U.S. district judge rejected the companies’ arguments thatin June of that year. A U.S. district judge rejected the companies’ arguments that
their rights were being violated and ordered them to work with San Francisco ontheir rights were being violated and ordered them to work with San Francisco ontheir rights were being violated and ordered them to work with San Francisco on
a registration system. Such registrations were part of the “Airbnb law” enacted ina registration system. Such registrations were part of the “Airbnb law” enacted ina registration system. Such registrations were part of the “Airbnb law” enacted in
early 2015, but the requirement was widely ignored. Only about 1,800 hostsearly 2015, but the requirement was widely ignored. Only about 1,800 hostsearly 2015, but the requirement was widely ignored. Only about 1,800 hosts
registered.registered.registered.
San Francisco wants hosts to register to ensure compliance with suchSan Francisco wants hosts to register to ensure compliance with suchSan Francisco wants hosts to register to ensure compliance with such
requirements as hosts being permanent residents who do not rent entire homesrequirements as hosts being permanent residents who do not rent entire homesrequirements as hosts being permanent residents who do not rent entire homes
for more than 90 days a year. The law seeks to prevent landlords from removingfor more than 90 days a year. The law seeks to prevent landlords from removingfor more than 90 days a year. The law seeks to prevent landlords from removing
housing stock by turning homes into full-time hotels.housing stock by turning homes into full-time hotels.housing stock by turning homes into full-time hotels.
Listings dropped off for several reasons:Listings dropped off for several reasons:Listings dropped off for several reasons:
http://projects.sfchronicle.com/2016/airbnb/
2/11/2019 Airbnb loses thousands of hosts in SF as registration rules kick in – SFChronicle.com
https://www.sfchronicle.com/business/article/Airbnb-loses-thousands-of-hosts-in-SF-as-12496624.php 5/7
Dormant properties:Dormant properties:Dormant properties:Dormant properties: About 2,000 people listed their homes but never rented to About 2,000 people listed their homes but never rented to About 2,000 people listed their homes but never rented to
tourists. Many were lured by the hope of quick riches from Super Bowl 50 andtourists. Many were lured by the hope of quick riches from Super Bowl 50 andtourists. Many were lured by the hope of quick riches from Super Bowl 50 and
America’s Cup guests who didn’t materialize.America’s Cup guests who didn’t materialize.America’s Cup guests who didn’t materialize.
Tenants and condo owners who can’t sublet:Tenants and condo owners who can’t sublet:Tenants and condo owners who can’t sublet:Tenants and condo owners who can’t sublet: When renters register as hosts, the When renters register as hosts, the When renters register as hosts, the
city notifies their building owner. “We think a good number of folks might meetcity notifies their building owner. “We think a good number of folks might meetcity notifies their building owner. “We think a good number of folks might meet
city eligibility requirements, but may be renters with ‘no subletting clauses’ incity eligibility requirements, but may be renters with ‘no subletting clauses’ incity eligibility requirements, but may be renters with ‘no subletting clauses’ in
their leases,” Guy said. Similarly, some condo associations bar subletting.their leases,” Guy said. Similarly, some condo associations bar subletting.their leases,” Guy said. Similarly, some condo associations bar subletting.
Ineligible properties:Ineligible properties:Ineligible properties:Ineligible properties: San Francisco permanently bars some properties from San Francisco permanently bars some properties from San Francisco permanently bars some properties from
vacation rentals, including below-market-rate units and public housing,vacation rentals, including below-market-rate units and public housing,vacation rentals, including below-market-rate units and public housing,
buildings subject to Ellis Act evictions after Nov. 1, 2014, and a kind of in-lawbuildings subject to Ellis Act evictions after Nov. 1, 2014, and a kind of in-lawbuildings subject to Ellis Act evictions after Nov. 1, 2014, and a kind of in-law
residence called an accessory dwelling unit. Funkier places, such as recreationalresidence called an accessory dwelling unit. Funkier places, such as recreationalresidence called an accessory dwelling unit. Funkier places, such as recreational
vehicles, tree houses, tents, shipping containers and boats, are also verboten forvehicles, tree houses, tents, shipping containers and boats, are also verboten forvehicles, tree houses, tents, shipping containers and boats, are also verboten for
tourists here. Properties with building-code violations can’t register until theytourists here. Properties with building-code violations can’t register until theytourists here. Properties with building-code violations can’t register until they
clear those up.clear those up.clear those up.
Ineligible hosts:Ineligible hosts:Ineligible hosts:Ineligible hosts: Only people who live in their homes at least nine months a year Only people who live in their homes at least nine months a year Only people who live in their homes at least nine months a year
can rent to tourists. That excludes those who have a pied-à-terre in Sancan rent to tourists. That excludes those who have a pied-à-terre in Sancan rent to tourists. That excludes those who have a pied-à-terre in San
Francisco, or who travel more than three months a year. Some hosts who listedFrancisco, or who travel more than three months a year. Some hosts who listedFrancisco, or who travel more than three months a year. Some hosts who listed
more than one property or who had guests stay almost year-round were rejectedmore than one property or who had guests stay almost year-round were rejectedmore than one property or who had guests stay almost year-round were rejected
by the city because they appeared to be operating illegal hotels.by the city because they appeared to be operating illegal hotels.by the city because they appeared to be operating illegal hotels.
Infrequent hosts:Infrequent hosts:Infrequent hosts:Infrequent hosts: San Francisco charges a $250 registration fee plus a $90 San Francisco charges a $250 registration fee plus a $90 San Francisco charges a $250 registration fee plus a $90
business registration fee for all hosts. For those who only rent a week or twobusiness registration fee for all hosts. For those who only rent a week or twobusiness registration fee for all hosts. For those who only rent a week or two
while they are on vacation, this could be a deterrent.while they are on vacation, this could be a deterrent.while they are on vacation, this could be a deterrent.
Procrastinators:Procrastinators:Procrastinators:Procrastinators: “It’s human nature that people wait until the last minute,” said “It’s human nature that people wait until the last minute,” said “It’s human nature that people wait until the last minute,” said
Airbnb’s Zazueta. Chicago, which went through a similar registration processAirbnb’s Zazueta. Chicago, which went through a similar registration processAirbnb’s Zazueta. Chicago, which went through a similar registration process
several months ago, saw a surge of last-minute registrations. Likewise, Sanseveral months ago, saw a surge of last-minute registrations. Likewise, Sanseveral months ago, saw a surge of last-minute registrations. Likewise, San
Francisco says applications have been increasing in the past week.Francisco says applications have been increasing in the past week.Francisco says applications have been increasing in the past week.
2/11/2019 Airbnb loses thousands of hosts in SF as registration rules kick in – SFChronicle.com
https://www.sfchronicle.com/business/article/Airbnb-loses-thousands-of-hosts-in-SF-as-12496624.php 6/7
Some hosts complain that the city is draconian with rejections, and said theSome hosts complain that the city is draconian with rejections, and said theSome hosts complain that the city is draconian with rejections, and said the
number of pending applications means it takes longer to get a decision.number of pending applications means it takes longer to get a decision.number of pending applications means it takes longer to get a decision.
“I was rejected because someone filed a completely bogus complaint saying I“I was rejected because someone filed a completely bogus complaint saying I“I was rejected because someone filed a completely bogus complaint saying I
have three units that are all Airbnbs,” said a host who asked not to be named.have three units that are all Airbnbs,” said a host who asked not to be named.have three units that are all Airbnbs,” said a host who asked not to be named.
“What evidence do they have? It’s not true.” He plans to appeal the decision.“What evidence do they have? It’s not true.” He plans to appeal the decision.“What evidence do they have? It’s not true.” He plans to appeal the decision.
In fact, rejections are rising. From February 2015 to August 2017, 26 percent ofIn fact, rejections are rising. From February 2015 to August 2017, 26 percent ofIn fact, rejections are rising. From February 2015 to August 2017, 26 percent of
applications were rejected. Since September, 38 percent have been rejected, fromapplications were rejected. Since September, 38 percent have been rejected, fromapplications were rejected. Since September, 38 percent have been rejected, from
a smaller pool of 293 applications.a smaller pool of 293 applications.a smaller pool of 293 applications.
“We’ve always closely scrutinized applications,” Guy said. “Now that people are“We’ve always closely scrutinized applications,” Guy said. “Now that people are“We’ve always closely scrutinized applications,” Guy said. “Now that people are
really required to register, there may be incentives for some to submitreally required to register, there may be incentives for some to submitreally required to register, there may be incentives for some to submit
applications that may be fraudulent, so it would be natural to see an increase inapplications that may be fraudulent, so it would be natural to see an increase inapplications that may be fraudulent, so it would be natural to see an increase in
the rejection rate.”the rejection rate.”the rejection rate.”
Applicants have 30 days to appeal a rejection and will receive a decision withinApplicants have 30 days to appeal a rejection and will receive a decision withinApplicants have 30 days to appeal a rejection and will receive a decision within
another 30 days.another 30 days.another 30 days.
There is a loophole for hosts who don’t want to register: renting for a month orThere is a loophole for hosts who don’t want to register: renting for a month orThere is a loophole for hosts who don’t want to register: renting for a month or
longer.longer.longer.
“A lot of people are switching to 30-plus-day listings, but it’s harder for them to“A lot of people are switching to 30-plus-day listings, but it’s harder for them to“A lot of people are switching to 30-plus-day listings, but it’s harder for them to
get renters,” Benkert said.get renters,” Benkert said.get renters,” Benkert said.
Carolyn Said is a San Francisco Chronicle staff writer. Email:Carolyn Said is a San Francisco Chronicle staff writer. Email:Carolyn Said is a San Francisco Chronicle staff writer. Email:
csaid@sfchronicle.comcsaid@sfchronicle.comcsaid@sfchronicle.com Twitter: Twitter: Twitter: @csaid@csaid@csaid
Vacation rentals in San FranciscoVacation rentals in San FranciscoVacation rentals in San FranciscoVacation rentals in San Francisco
2,1682,1682,1682,168 hosts are registered with the city. hosts are registered with the city. hosts are registered with the city.
737737737737 hosts have applications pending. hosts have applications pending. hosts have applications pending.
mailto:csaid@sfchronicle.com
2/11/2019 Airbnb loses thousands of hosts in SF as registration rules kick in – SFChronicle.com
https://www.sfchronicle.com/business/article/Airbnb-loses-thousands-of-hosts-in-SF-as-12496624.php 7/7
8,4538,4538,4538,453 Airbnb listings in San Francisco in early August, prior to the strengthening Airbnb listings in San Francisco in early August, prior to the strengthening Airbnb listings in San Francisco in early August, prior to the strengthening
of registration requirements.of registration requirements.of registration requirements.
That does not include That does not include That does not include 2,650 2,650 2,650 2,650 Airbnb listings in San Francisco that are exempt: 30-Airbnb listings in San Francisco that are exempt: 30-Airbnb listings in San Francisco that are exempt: 30-
day-plus rentals, bed and breakfasts, and hotels.day-plus rentals, bed and breakfasts, and hotels.day-plus rentals, bed and breakfasts, and hotels.
2,6802,6802,6802,680 hosts were removed by Airbnb between September and December. hosts were removed by Airbnb between September and December. hosts were removed by Airbnb between September and December.
That left That left That left 5,900 5,900 5,900 5,900 nonexempt Airbnb listings as of early December; all remainingnonexempt Airbnb listings as of early December; all remainingnonexempt Airbnb listings as of early December; all remaining
unregistered listings will be removed on Tuesday.unregistered listings will be removed on Tuesday.unregistered listings will be removed on Tuesday.
© Hearst© Hearst© Hearst
https://www.sfchronicle.com/
2/11/2019 Lake Tahoe houses sit vacant while locals struggle to find affordable housing – SFChronicle.com
https://www.sfchronicle.com/travel/article/Lake-Tahoe-houses-sit-vacant-while-locals-13601651.php 1/7
L I F E S T Y L E L I F E S T Y L E L I F E S T Y L E // // // T R AV E LT R AV E LT R AV E L
Lake Tahoe houses sit vacant while localsLake Tahoe houses sit vacant while localsLake Tahoe houses sit vacant while locals
struggle to find affordable housingstruggle to find affordable housingstruggle to find affordable housing
By Dave ZookBy Dave ZookBy Dave Zook
Feb. , Feb. , Feb. , Updated: Feb. , : a.m.Updated: Feb. , : a.m.Updated: Feb. , : a.m.
Some Tahoe-area destinations are changing their rules around vacation rentals.Some Tahoe-area destinations are changing their rules around vacation rentals.Some Tahoe-area destinations are changing their rules around vacation rentals.
Photo: iStockphoto / Getty ImagesPhoto: iStockphoto / Getty ImagesPhoto: iStockphoto / Getty Images
2/11/2019 Lake Tahoe houses sit vacant while locals struggle to find affordable housing – SFChronicle.com
https://www.sfchronicle.com/travel/article/Lake-Tahoe-houses-sit-vacant-while-locals-13601651.php 2/7
For more stories like this, check out The Chronicle’s weekly Travel newsletter!For more stories like this, check out The Chronicle’s weekly Travel newsletter!For more stories like this, check out The Chronicle’s weekly Travel newsletter!
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At a standing-room-only town hall meeting in January at Sierra Nevada CollegeAt a standing-room-only town hall meeting in January at Sierra Nevada CollegeAt a standing-room-only town hall meeting in January at Sierra Nevada College
in Incline Village, Nev., residents voiced passionate opinions on a question thatin Incline Village, Nev., residents voiced passionate opinions on a question thatin Incline Village, Nev., residents voiced passionate opinions on a question that
has chafed the Lake Tahoe area for decades: What’s the best way to house thehas chafed the Lake Tahoe area for decades: What’s the best way to house thehas chafed the Lake Tahoe area for decades: What’s the best way to house the
hordes of vacationers who descend on the lake year-round?hordes of vacationers who descend on the lake year-round?hordes of vacationers who descend on the lake year-round?
“They come and party and leave trash in the streets, and take housing away from“They come and party and leave trash in the streets, and take housing away from“They come and party and leave trash in the streets, and take housing away from
the locals,” a longtime resident said. “But I and many others couldn’t afford tothe locals,” a longtime resident said. “But I and many others couldn’t afford tothe locals,” a longtime resident said. “But I and many others couldn’t afford to
live here unless I rented out my spare bedroom.”live here unless I rented out my spare bedroom.”live here unless I rented out my spare bedroom.”
“Plus, they bring in millions in tax dollars,” a woman added.“Plus, they bring in millions in tax dollars,” a woman added.“Plus, they bring in millions in tax dollars,” a woman added.
Such is life for Tahoe locals: The crush of tourists can often feel overwhelming,Such is life for Tahoe locals: The crush of tourists can often feel overwhelming,Such is life for Tahoe locals: The crush of tourists can often feel overwhelming,
but it is also the lifeblood of the economy. The region, which encompasses fivebut it is also the lifeblood of the economy. The region, which encompasses fivebut it is also the lifeblood of the economy. The region, which encompasses five
counties in two states, sees around 3 million visitors a year.counties in two states, sees around 3 million visitors a year.counties in two states, sees around 3 million visitors a year.
At issue that evening was the management of short-term rentals — units leasedAt issue that evening was the management of short-term rentals — units leasedAt issue that evening was the management of short-term rentals — units leased
for 30 days or less at a time. Think ski cabins, lakeside lodges, vacation condosfor 30 days or less at a time. Think ski cabins, lakeside lodges, vacation condosfor 30 days or less at a time. Think ski cabins, lakeside lodges, vacation condos
and the plethora of other housing options available on sites such as Airbnb andand the plethora of other housing options available on sites such as Airbnb andand the plethora of other housing options available on sites such as Airbnb and
VRBO. STRs, as they’re known, are a crucial source of income for residents andVRBO. STRs, as they’re known, are a crucial source of income for residents andVRBO. STRs, as they’re known, are a crucial source of income for residents and
municipal governments in an area where tourism is the dominant industry, butmunicipal governments in an area where tourism is the dominant industry, butmunicipal governments in an area where tourism is the dominant industry, but
they’ve saddled communities with all sorts of nuisances: illegal parking,they’ve saddled communities with all sorts of nuisances: illegal parking,they’ve saddled communities with all sorts of nuisances: illegal parking,
excessive noise, wild partying, trash.excessive noise, wild partying, trash.excessive noise, wild partying, trash.
“Opinions of STRs vary dramatically,” says Jeff Loux, town manager of Truckee.“Opinions of STRs vary dramatically,” says Jeff Loux, town manager of Truckee.“Opinions of STRs vary dramatically,” says Jeff Loux, town manager of Truckee.
“We hear the spectrum from ‘STRs are the problem’ to ‘You can’t possibly ban“We hear the spectrum from ‘STRs are the problem’ to ‘You can’t possibly ban“We hear the spectrum from ‘STRs are the problem’ to ‘You can’t possibly ban
these, they are the lifeblood of the economy.’”these, they are the lifeblood of the economy.’”these, they are the lifeblood of the economy.’”
Perhaps more consequential to a region where the median annual income hoversPerhaps more consequential to a region where the median annual income hoversPerhaps more consequential to a region where the median annual income hovers
around $45,000, STRs stress the already limited housing supply of Lake Tahoe —around $45,000, STRs stress the already limited housing supply of Lake Tahoe —around $45,000, STRs stress the already limited housing supply of Lake Tahoe —
http://www.sfchronicle.com/newsletters/travel/
2/11/2019 Lake Tahoe houses sit vacant while locals struggle to find affordable housing – SFChronicle.com
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where 65 percent of homes sit vacant most of the year and locals are increasinglywhere 65 percent of homes sit vacant most of the year and locals are increasinglywhere 65 percent of homes sit vacant most of the year and locals are increasingly
struggling to find affordable housing.struggling to find affordable housing.struggling to find affordable housing.
The discord over STRs in Tahoe has been swirling for a decade, since the rise ofThe discord over STRs in Tahoe has been swirling for a decade, since the rise ofThe discord over STRs in Tahoe has been swirling for a decade, since the rise of
rental services. But the issue was reignited last fall when voters in South Lakerental services. But the issue was reignited last fall when voters in South Lakerental services. But the issue was reignited last fall when voters in South Lake
Tahoe passed Measure T, an ordinance designed to phase out STRs by 2021. TheTahoe passed Measure T, an ordinance designed to phase out STRs by 2021. TheTahoe passed Measure T, an ordinance designed to phase out STRs by 2021. The
measure passed by a mere 58 votes — less than 1 percent of votes cast — but themeasure passed by a mere 58 votes — less than 1 percent of votes cast — but themeasure passed by a mere 58 votes — less than 1 percent of votes cast — but the
message became clear: South Lake’s citizenry is fed up with the lack ofmessage became clear: South Lake’s citizenry is fed up with the lack ofmessage became clear: South Lake’s citizenry is fed up with the lack of
regulations on STRs.regulations on STRs.regulations on STRs.
While Measure T represents the most extreme example of action on STRs, similarWhile Measure T represents the most extreme example of action on STRs, similarWhile Measure T represents the most extreme example of action on STRs, similar
debates are happening all around Lake Tahoe, exemplifying the tightrope walkdebates are happening all around Lake Tahoe, exemplifying the tightrope walkdebates are happening all around Lake Tahoe, exemplifying the tightrope walk
of attracting tourism and maintaining a town’s unique character.of attracting tourism and maintaining a town’s unique character.of attracting tourism and maintaining a town’s unique character.
“It is a balancing act,” Loux says. “On the one hand, this is a resort community“It is a balancing act,” Loux says. “On the one hand, this is a resort community“It is a balancing act,” Loux says. “On the one hand, this is a resort community
where people have rented their properties on a short-term basis for decades. …where people have rented their properties on a short-term basis for decades. …where people have rented their properties on a short-term basis for decades. …
On the other hand, we are a community, not just a resort.”On the other hand, we are a community, not just a resort.”On the other hand, we are a community, not just a resort.”
To help ground future decisions in data, a report on the impact of STRs is soon toTo help ground future decisions in data, a report on the impact of STRs is soon toTo help ground future decisions in data, a report on the impact of STRs is soon to
be released by the Mountain Housing Council of Tahoe-Truckee, a coalition of 28be released by the Mountain Housing Council of Tahoe-Truckee, a coalition of 28be released by the Mountain Housing Council of Tahoe-Truckee, a coalition of 28
business and community groups including ski resorts, governments and realtybusiness and community groups including ski resorts, governments and realtybusiness and community groups including ski resorts, governments and realty
boards. Due out this month, the report focuses on the Truckee/North Tahoeboards. Due out this month, the report focuses on the Truckee/North Tahoeboards. Due out this month, the report focuses on the Truckee/North Tahoe
region, which includes the majority of Tahoe’s west shore, the north shore goingregion, which includes the majority of Tahoe’s west shore, the north shore goingregion, which includes the majority of Tahoe’s west shore, the north shore going
east to where it borders Nevada, and up to Truckee, 15 miles north of the lake.east to where it borders Nevada, and up to Truckee, 15 miles north of the lake.east to where it borders Nevada, and up to Truckee, 15 miles north of the lake.
Seana Doherty, project manager for the council, hopes the study will serve as aSeana Doherty, project manager for the council, hopes the study will serve as aSeana Doherty, project manager for the council, hopes the study will serve as a
turning point for policymakers, as it will sharpen the focus on the scope of theturning point for policymakers, as it will sharpen the focus on the scope of theturning point for policymakers, as it will sharpen the focus on the scope of the
issue. For example, the council found that 13 percent of the estimated 38,801issue. For example, the council found that 13 percent of the estimated 38,801issue. For example, the council found that 13 percent of the estimated 38,801
housing units in Truckee and North Tahoe are being rented on a short-termhousing units in Truckee and North Tahoe are being rented on a short-termhousing units in Truckee and North Tahoe are being rented on a short-term
basis. Doherty believes this number is significantly lower than people wouldbasis. Doherty believes this number is significantly lower than people wouldbasis. Doherty believes this number is significantly lower than people would
have assumed, indicating that the impact of STRs may not be as large a part ofhave assumed, indicating that the impact of STRs may not be as large a part ofhave assumed, indicating that the impact of STRs may not be as large a part of
the housing problem as people imagined.the housing problem as people imagined.the housing problem as people imagined.
2/11/2019 Lake Tahoe houses sit vacant while locals struggle to find affordable housing – SFChronicle.com
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For now, the debate remains hotly contested, as different areas of the lake takeFor now, the debate remains hotly contested, as different areas of the lake takeFor now, the debate remains hotly contested, as different areas of the lake take
different approaches to management. Here is how the issue is shaping up arounddifferent approaches to management. Here is how the issue is shaping up arounddifferent approaches to management. Here is how the issue is shaping up around
the lake.the lake.the lake.
South Lake TahoeSouth Lake TahoeSouth Lake TahoeSouth Lake Tahoe
Situated adjacent to a handful of tourist-friendly casinos just over the stateSituated adjacent to a handful of tourist-friendly casinos just over the stateSituated adjacent to a handful of tourist-friendly casinos just over the state
border in Nevada, South Lake Tahoe is the largest city on the lake, with 22,000border in Nevada, South Lake Tahoe is the largest city on the lake, with 22,000border in Nevada, South Lake Tahoe is the largest city on the lake, with 22,000
residents.residents.residents.
It’s also a hotbed of STR controversy; Measure T is the most aggressive attemptIt’s also a hotbed of STR controversy; Measure T is the most aggressive attemptIt’s also a hotbed of STR controversy; Measure T is the most aggressive attempt
to rein in short-term rentals in the region. Supporters believe the measure couldto rein in short-term rentals in the region. Supporters believe the measure couldto rein in short-term rentals in the region. Supporters believe the measure could
add to the supply of long-term rental options. Detractors worry about stymieingadd to the supply of long-term rental options. Detractors worry about stymieingadd to the supply of long-term rental options. Detractors worry about stymieing
cash flow to the city, including an estimated $4 million in annual tax revenue.cash flow to the city, including an estimated $4 million in annual tax revenue.cash flow to the city, including an estimated $4 million in annual tax revenue.
The measure seeks to reduce occupancy limits for STR units and eliminate themThe measure seeks to reduce occupancy limits for STR units and eliminate themThe measure seeks to reduce occupancy limits for STR units and eliminate them
completely by the end of 2021 outside the tourist core, which runs alongcompletely by the end of 2021 outside the tourist core, which runs alongcompletely by the end of 2021 outside the tourist core, which runs along
Highway 50 from Ski Run Boulevard to the Nevada border. There are about 1,400Highway 50 from Ski Run Boulevard to the Nevada border. There are about 1,400Highway 50 from Ski Run Boulevard to the Nevada border. There are about 1,400
units outside the tourist core and 400 within it. Measure T grants full-time Southunits outside the tourist core and 400 within it. Measure T grants full-time Southunits outside the tourist core and 400 within it. Measure T grants full-time South
Lake Tahoe residents an exemption to the new rules.Lake Tahoe residents an exemption to the new rules.Lake Tahoe residents an exemption to the new rules.
Before Measure T, the city had taken other measures to curb unchecked STRBefore Measure T, the city had taken other measures to curb unchecked STRBefore Measure T, the city had taken other measures to curb unchecked STR
growth. In October 2017, for example, the city put a moratorium on vacationgrowth. In October 2017, for example, the city put a moratorium on vacationgrowth. In October 2017, for example, the city put a moratorium on vacation
rental permits, and at the end of that year enacted heavy fines for partying,rental permits, and at the end of that year enacted heavy fines for partying,rental permits, and at the end of that year enacted heavy fines for partying,
illegal parking and other nuisance issues.illegal parking and other nuisance issues.illegal parking and other nuisance issues.
Still, some residents felt that wasn’t enough. In late 2017, two South Lake TahoeStill, some residents felt that wasn’t enough. In late 2017, two South Lake TahoeStill, some residents felt that wasn’t enough. In late 2017, two South Lake Tahoe
citizens started to circulate a petition to get Measure T on the ballot. The Tahoecitizens started to circulate a petition to get Measure T on the ballot. The Tahoecitizens started to circulate a petition to get Measure T on the ballot. The Tahoe
Neighborhoods Group formed to back it, and in April 2018 it submitted theNeighborhoods Group formed to back it, and in April 2018 it submitted theNeighborhoods Group formed to back it, and in April 2018 it submitted the
necessary signatures to get it on that year’s ballot.necessary signatures to get it on that year’s ballot.necessary signatures to get it on that year’s ballot.
But it appears the fight is just beginning. In December, the South Lake TahoeBut it appears the fight is just beginning. In December, the South Lake TahoeBut it appears the fight is just beginning. In December, the South Lake Tahoe
Property Owners Group filed suit against the city, saying the measure isProperty Owners Group filed suit against the city, saying the measure isProperty Owners Group filed suit against the city, saying the measure is
2/11/2019 Lake Tahoe houses sit vacant while locals struggle to find affordable housing – SFChronicle.com
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unconstitutional and unenforceable and infringes on property owners’ rights.unconstitutional and unenforceable and infringes on property owners’ rights.unconstitutional and unenforceable and infringes on property owners’ rights.
The measure also took a blow when, on Dec. 24, an El Dorado County judge put aThe measure also took a blow when, on Dec. 24, an El Dorado County judge put aThe measure also took a blow when, on Dec. 24, an El Dorado County judge put a
temporary stay on the new occupancy limits that were set to take immediatetemporary stay on the new occupancy limits that were set to take immediatetemporary stay on the new occupancy limits that were set to take immediate
effect, citing concerns over how it would affect the busy holiday season.effect, citing concerns over how it would affect the busy holiday season.effect, citing concerns over how it would affect the busy holiday season.
As a result, it’s too early to tell whether the city will see a significant downturn inAs a result, it’s too early to tell whether the city will see a significant downturn inAs a result, it’s too early to tell whether the city will see a significant downturn in
STRs this year.STRs this year.STRs this year.
Placer CountyPlacer CountyPlacer CountyPlacer County
Stretching from Tahoma on the West Shore of Lake Tahoe to Kings Beach on theStretching from Tahoma on the West Shore of Lake Tahoe to Kings Beach on theStretching from Tahoma on the West Shore of Lake Tahoe to Kings Beach on the
border of Nevada, eastern Placer County encompasses a diverse range ofborder of Nevada, eastern Placer County encompasses a diverse range ofborder of Nevada, eastern Placer County encompasses a diverse range of
neighborhoods as well as the ski-area communities of Squaw Valley andneighborhoods as well as the ski-area communities of Squaw Valley andneighborhoods as well as the ski-area communities of Squaw Valley and
Northstar. It has about 2,500 STRs, according to the council’s study, whichNorthstar. It has about 2,500 STRs, according to the council’s study, whichNorthstar. It has about 2,500 STRs, according to the council’s study, which
brought in an estimated $10.6 million through transient occupancy taxes in 2018.brought in an estimated $10.6 million through transient occupancy taxes in 2018.brought in an estimated $10.6 million through transient occupancy taxes in 2018.
To manage the yearly uptick in STR usage, the county is working on reducingTo manage the yearly uptick in STR usage, the county is working on reducingTo manage the yearly uptick in STR usage, the county is working on reducing
nuisance issues and increasing enforcement. In December, Placer updated itsnuisance issues and increasing enforcement. In December, Placer updated itsnuisance issues and increasing enforcement. In December, Placer updated its
STR ordinances, including requiring a designated local contact within 50 milesSTR ordinances, including requiring a designated local contact within 50 milesSTR ordinances, including requiring a designated local contact within 50 miles
for renters to respond to complaints; a good neighbor “fact sheet” to be posted onfor renters to respond to complaints; a good neighbor “fact sheet” to be posted onfor renters to respond to complaints; a good neighbor “fact sheet” to be posted on
the property about issues including parking, trash and noise; safety information;the property about issues including parking, trash and noise; safety information;the property about issues including parking, trash and noise; safety information;
and more.and more.and more.
However, policymakers there appear less interested in limiting landowners’However, policymakers there appear less interested in limiting landowners’However, policymakers there appear less interested in limiting landowners’
ability to rent, citing the wide range of services that the occupancy taxes fund,ability to rent, citing the wide range of services that the occupancy taxes fund,ability to rent, citing the wide range of services that the occupancy taxes fund,
which include the Sheriff’s Department, public transportation, tourismwhich include the Sheriff’s Department, public transportation, tourismwhich include the Sheriff’s Department, public transportation, tourism
marketing and more.marketing and more.marketing and more.
Jennifer Merchant, Placer County’s deputy CEO for Lake Tahoe, says she isJennifer Merchant, Placer County’s deputy CEO for Lake Tahoe, says she isJennifer Merchant, Placer County’s deputy CEO for Lake Tahoe, says she is
working to address the housing situation but doesn’t believe something akin toworking to address the housing situation but doesn’t believe something akin toworking to address the housing situation but doesn’t believe something akin to
Measure T is the solution. “Prohibiting STRs outright would not necessarily yieldMeasure T is the solution. “Prohibiting STRs outright would not necessarily yieldMeasure T is the solution. “Prohibiting STRs outright would not necessarily yield
the deserved result in improving our housing shortage, but it would have athe deserved result in improving our housing shortage, but it would have athe deserved result in improving our housing shortage, but it would have a
negative impact on the local economy,” Merchant says.negative impact on the local economy,” Merchant says.negative impact on the local economy,” Merchant says.
2/11/2019 Lake Tahoe houses sit vacant while locals struggle to find affordable housing – SFChronicle.com
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Placer County has carried out surveys with second-home owners and looked atPlacer County has carried out surveys with second-home owners and looked atPlacer County has carried out surveys with second-home owners and looked at
similar mountain towns outside of Tahoe. The results haven’t convincedsimilar mountain towns outside of Tahoe. The results haven’t convincedsimilar mountain towns outside of Tahoe. The results haven’t convinced
Merchant that limiting STRs would open up more long-term housing. “I haven’tMerchant that limiting STRs would open up more long-term housing. “I haven’tMerchant that limiting STRs would open up more long-term housing. “I haven’t
seen any empirical data that demonstrates a significant impact on long-termseen any empirical data that demonstrates a significant impact on long-termseen any empirical data that demonstrates a significant impact on long-term
rentals that directly correlates from regulating STRs,” she says.rentals that directly correlates from regulating STRs,” she says.rentals that directly correlates from regulating STRs,” she says.
TruckeeTruckeeTruckeeTruckee
The Nevada County town, with 17,000 residents and an estimated 1,700 STRs, isThe Nevada County town, with 17,000 residents and an estimated 1,700 STRs, isThe Nevada County town, with 17,000 residents and an estimated 1,700 STRs, is
juggling a plethora of housing and commercial developments and upcomingjuggling a plethora of housing and commercial developments and upcomingjuggling a plethora of housing and commercial developments and upcoming
changes to the size and fabric of the town.changes to the size and fabric of the town.changes to the size and fabric of the town.
For example, a development is essentially doubling the size of Truckee’sFor example, a development is essentially doubling the size of Truckee’sFor example, a development is essentially doubling the size of Truckee’s
downtown, including affordable housing units. A project is also in the works todowntown, including affordable housing units. A project is also in the works todowntown, including affordable housing units. A project is also in the works to
build 137 deed-restricted, prefabricated housing units near Truckee’s downtown.build 137 deed-restricted, prefabricated housing units near Truckee’s downtown.build 137 deed-restricted, prefabricated housing units near Truckee’s downtown.
A long-standing STR issue here: Some renters don’t register their properties.A long-standing STR issue here: Some renters don’t register their properties.A long-standing STR issue here: Some renters don’t register their properties.
That means not only that the city doesn’t collect taxes on those units but alsoThat means not only that the city doesn’t collect taxes on those units but alsoThat means not only that the city doesn’t collect taxes on those units but also
that the scope of the STR presence in Truckee is unknown to city leaders.that the scope of the STR presence in Truckee is unknown to city leaders.that the scope of the STR presence in Truckee is unknown to city leaders.
To address that issue, in June 2016, Truckee was one of the first five cities in theTo address that issue, in June 2016, Truckee was one of the first five cities in theTo address that issue, in June 2016, Truckee was one of the first five cities in the
nation to hire a company called Host Compliance to identify STRs and help localnation to hire a company called Host Compliance to identify STRs and help localnation to hire a company called Host Compliance to identify STRs and help local
officials register and track them. The company now has more than 150 clientsofficials register and track them. The company now has more than 150 clientsofficials register and track them. The company now has more than 150 clients
around the country, including Napa, Carlsbad (San Diego County) and Jacksonaround the country, including Napa, Carlsbad (San Diego County) and Jacksonaround the country, including Napa, Carlsbad (San Diego County) and Jackson
Hole, Wyo. Truckee and Placer County are both now estimated to have a 90Hole, Wyo. Truckee and Placer County are both now estimated to have a 90Hole, Wyo. Truckee and Placer County are both now estimated to have a 90
percent registration rate.percent registration rate.percent registration rate.
Gathering feedback from the community is also a priority. Town Manager LouxGathering feedback from the community is also a priority. Town Manager LouxGathering feedback from the community is also a priority. Town Manager Loux
says Truckee leaders are planning a series of community workshops to hearsays Truckee leaders are planning a series of community workshops to hearsays Truckee leaders are planning a series of community workshops to hear
residents’ concerns and discuss affordable housing.residents’ concerns and discuss affordable housing.residents’ concerns and discuss affordable housing.
“The issue is a multifaceted one that I believe will need to find a balance between“The issue is a multifaceted one that I believe will need to find a balance between“The issue is a multifaceted one that I believe will need to find a balance between
market forces and free enterprise and policy (and ultimately regulation) aimed atmarket forces and free enterprise and policy (and ultimately regulation) aimed atmarket forces and free enterprise and policy (and ultimately regulation) aimed at
2/11/2019 Lake Tahoe houses sit vacant while locals struggle to find affordable housing – SFChronicle.com
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helping to mitigate potential negative impacts to our local long-term housinghelping to mitigate potential negative impacts to our local long-term housinghelping to mitigate potential negative impacts to our local long-term housing
stock,” Truckee Mayor David Tirman wrote in an email.stock,” Truckee Mayor David Tirman wrote in an email.stock,” Truckee Mayor David Tirman wrote in an email.
Looking aheadLooking aheadLooking aheadLooking ahead
How the short-term-rental issue develops is tough to predict. What’s clear is thatHow the short-term-rental issue develops is tough to predict. What’s clear is thatHow the short-term-rental issue develops is tough to predict. What’s clear is that
civic leaders and planners around Lake Tahoe are paying closer attention thancivic leaders and planners around Lake Tahoe are paying closer attention thancivic leaders and planners around Lake Tahoe are paying closer attention than
ever to the issues associated with STRs and gathering data to make moreever to the issues associated with STRs and gathering data to make moreever to the issues associated with STRs and gathering data to make more
informed policy decisions.informed policy decisions.informed policy decisions.
“The best step for STRs is to ground ourselves in facts,” says Stacy Caldwell, the“The best step for STRs is to ground ourselves in facts,” says Stacy Caldwell, the“The best step for STRs is to ground ourselves in facts,” says Stacy Caldwell, the
CEO of the Tahoe Truckee Community Foundation, one of the partners of theCEO of the Tahoe Truckee Community Foundation, one of the partners of theCEO of the Tahoe Truckee Community Foundation, one of the partners of the
Mountain Housing Council. “We know STRs are controversial, and across all theMountain Housing Council. “We know STRs are controversial, and across all theMountain Housing Council. “We know STRs are controversial, and across all the
questions related to STRs, I think it’s a ‘yes and’ type of answer. As a communityquestions related to STRs, I think it’s a ‘yes and’ type of answer. As a communityquestions related to STRs, I think it’s a ‘yes and’ type of answer. As a community
we have to decide where to put our energy.”we have to decide where to put our energy.”we have to decide where to put our energy.”
Dave Zook is a freelance writer in Tahoe City. Email: Dave Zook is a freelance writer in Tahoe City. Email: Dave Zook is a freelance writer in Tahoe City. Email: travel@sfchronicle.comtravel@sfchronicle.comtravel@sfchronicle.com
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Airbnb’s impact in San Francisco
SF Chronicle
Carolyn Said
July 12, 2015
Said, C. (2015, July 12, 2015). The Airbnb effect. San Francisco
Chronicle. Retrieved from https://www.sfchronicle.com/airbnb-
impact-san-francisco-2015/#1
Part 1 – The Airbnb effect
At least 350 entire homes listed on Airbnb appear to be full-time vacation rentals, bolstering
claims by activists that the service removes scarce housing from the city’s limited inventory.
July 12, 2015
https://www.sfchronicle.com/airbnb-impact-san-francisco-2015/#1
Stories by Carolyn Said | Design by Michael Grant | Development and graphics by Aaron Williams, Maegan Clawges and John Blanchard |
Photography by Paul Chinn, Liz Hafalia, Jason Henry, Leah Millis, Amy Osborne, Lea Suzuki and Sam Wolson | Edited by Ben Muessig |
Copyedited by Caroline Grannan
Both Airbnb and its San Francisco critics are correct. Most of the booming vacation-rental
company’s local listings are only occasionally rented to travelers, as Airbnb says. However,
at least 350 entire properties listed on Airbnb — and hundreds more listed on competing
sites HomeAway/VRBO and FlipKey — appear to be full-time vacation rentals, bolstering
claims by activists that the services remove scarce housing from the city’s limited
inventory. Those are among the findings from a data dive into the three companies’
websites.
It’s not the thousands of illegal hotels that critics allege have sprung up thanks to Airbnb
and its rivals. But in a city wracked by a housing crisis, where a typical year sees just 2,000
new units added, a few hundred units off the market makes a significant dent.
Using houses as hotels ranks among San Francisco’s most-contentious issues, debated
fiercely by lawmakers, residents, advocates and corporations, and now likely headed for a
ballot-box showdown.
Opponents say short-term rentals are so lucrative that greedy landlords and tenants
illegally divert precious housing stock to the practice. Proponents say services like Airbnb
help regular people afford to stay in San Francisco, while forging international friendships.
For decades, a seldom-enforced law banned vacation rentals in San Francisco. A new law
enacted on Feb. 1 legalized such rentals, with conditions: hosts must be full-time residents,
whole-property rentals are capped at 90 days a year, and all hosts must register with the
city. But so far only a fraction of hosts — about 700 — have registered, while the city itself
admits it struggles to catch scofflaws. Mayor Ed Lee this month created a new office to
streamline registration and pursue violations.
At the core of this dispute is a simple question that is devilishly difficult to answer: How do
the impromptu inns affect the city’s housing market?
To investigate, The Chronicle commissioned data-extraction companies Connotate Inc. and
Import.io to harvest San Francisco information from the Airbnb, HomeAway and FlipKey
websites on May 19. Connotate also extracted Airbnb listing data for The Chronicle on the
same date in 2014, allowing for insights about year-over-year changes. Here’s a summary
of the findings:
Total listings and cost
Amid all the controversy, the number of Airbnb listings in San Francisco grew 13.8 percent
in the year, hitting 5,459, despite a significant portion of properties dropping out. The $202
average nightly cost among all property types — entire homes, private rooms and shared
rooms — was up $19 (10.9 percent) from a year ago.
Entire homes accounted for 3,264 of the 2015 listings, or 59.8 percent; private rooms
numbered 1,969 or 36 percent and shared rooms tallied 226 or 4.1 percent. Prices for
entire homes rose 13.3 percent to $255; private rooms edged up 6 percent to $123 and
shared rooms ballooned 55 percent to $124. That increase was propelled by some new
hacker hostels — shared houses that pack young workers into bunk beds.
Length and frequency of rentals
Almost two-thirds — 64 percent — of all listings had 10 or fewer reviews over the past
year, supporting the idea that they were rented only infrequently.
However, the remaining listings racked up a significant chunk of guest reviews — a telling,
albeit conservative indicator of usage as not all guests leave reviews.
Properties listed on Airbnb both last year and this year averaged 22 reviews each. Among
entire homes, 352 showed 26 or more reviews in the 52-week period. That means new
guests checked in at least every other week and likely more often.
An additional 349 new or returning listings for entire homes also had 26 or more reviews,
attained during an indeterminate time period.
Where are they?
Vacation rentals are spread throughout San Francisco, in contrast to the city’s 34,000 hotel
rooms, which are heavily clustered near Moscone Center, Union Square and Fisherman’s
Wharf.
The Mission District, with 789 listings (up from 681 last year), remains the city’s most
popular Airbnb location, followed by SoMa (388 listings) and the Western Addition/NoPa
(369). Bernal Heights added 58 properties to become fourth-most-popular, with 264
spaces for rent. The Bayview added eight listings (for a total of 58), and racked up 757 new
guest comments in a year, pointing to rise in usage in one of the city’s lower-cost
neighborhoods.
Who hosts?
While most Airbnb hosts control a single property, 205 hosts have three or more listings.
These super hosts account for 4.8 percent of all hosts, but control 993 properties — 18.2
percent of Airbnb’s local listings. Some are property managers, some are hacker hostels,
some are legal hotels and some are people who may have siphoned off housing stock to
make more money hosting visitors.
Wrede Petersmeyer, who oversees Airbnb analytics, flew out from New York, to discuss the
company’s data and defend its model. Most entire units in San Francisco are rented out
fewer than 30 days a year, he said, while only 10 percent of hosts rent out a space where
they do not live. Entire units were booked an average of 65 nights over the 12 months
ended July 5, with a median stay of 29 nights, Airbnb said.
“Data scrapes are unfairly used to draw specific — often negative — conclusions about a
small subset of our host community,” he said, “when the reality is the vast majority are
middle-class families sharing the home in which they live.”
Since 60 percent of Airbnb’s local listings are entire homes, does that undercut the
company’s assertion that guests and hosts are “sharing” spaces and forging friendships?
“Local, authentic hospitality doesn’t always mean the host has to be there to give you the
keys,” Petersmeyer said.
Part 2 – Living with Airbnb
A family in the Castro welcomes guests to raise funds and make friends, while a landlord in
Nob Hill stands accused of turning a Victorian home into a full-time hotel. July 12, 2015
https://www.sfchronicle.com/airbnb-impact-san-francisco-2015/#2
Geoff Benjamin and his husband, Craig Persiko, often list rooms in their four-bedroom
Castro condo on Airbnb to raise spare cash. Another host identified on the site as Yumi has
allegedly turned two entire flats on Nob Hill into Airbnb hotels, hosting a frequent stream
of temporary renters, while also listing another room for rent in the Richmond District. The
tales of these hosts illustrate both sides of the vacation-rental debate.
Persiko chairs the computer science department at City College of San Francisco, while
Benjamin recently launched the SoMa cabaret theatre and nightclub Oasis — a labor of love
financed by Airbnb guests.
Renting to travelers “in many ways became like a small-business loan that we didn’t have
to repay,” Benjamin said. “In essence, it paid my salary for the two years it took to open
Oasis.”
The couple rent two to four rooms to travelers at different times. They paid for sleep-away
camp for their children, Tobias, 10, and Serafina, 12, by renting out their bedrooms while
they were away, for instance.
They love meeting people, and the feeling seems mutual. Airbnb guests read to their kids
and eat meals with the family. Benjamin said the rooms wouldn’t work as permanent
housing, because most people prefer not to stay long with a family with children.
“I’ve always wanted my children to identify as citizens of the world,” Benjamin said. “A
really excited energy comes from people when they travel. We get to see the city through
their eyes.”
Over on Nob Hill, Katieanne Moran and her flatmates say they are surrounded by Airbnb
renters. Long-term tenants in the middle flat of a Victorian triplex, they discovered that the
top floor and basement flats had been converted to full-time Airbnb use, with six individual
rooms going for $100 to $130 a night.
“Rooms were being rented below us, above us and in the building all around us,” she said.
“It was very disconcerting; we felt trapped.”
Their landlady, Yumi, does not live in the building, the tenants said. When they voiced
concerns about noise and security, the landlady said “she could do whatever she wanted
and if it caused problems, we would be evicted.”
Now they’re suing Yumi, whose legal name is Mingjing Li, for violating city ordinances,
negligence and creating a private nuisance. Li and her attorney declined to comment.
“This is one of the more egregious cases, but we often see landlords try to force tenants out
… (to use) Airbnb and other hosting platforms,” said Mark Hooshmand, the tenants’ lawyer.
“Money motivates people to not follow regulations.”
Part 3 – Hosts or hoteliers?
The Chronicle compiled a conservative estimate of Airbnb listings functioning as full-time
vacation rentals. July 12, 2015
https://www.sfchronicle.com/airbnb-impact-san-francisco-2015/#3
How many San Franciscans use Airbnb to turn their places into year-round hotels? Airbnb
knows the answer: Its transaction system captures exactly how many nights each property
is rented. The company could remove listings after they exceed the legal limit of 90 days —
but it doesn’t want to do so. It says those bad players would simply migrate to other
platforms such as Craigslist that don’t police listings.
Nor does it want to open the kimono on exactly how many days each place is rented out.
And even though it now collects San Francisco’s 14 percent hotel tax — remitting more
than $1 million a month — it resists requests to tell the tax collector which homes are
rented and how often.
For someone looking in, guest reviews provide the best insight into how often a unit is
rented. The more reviews, the more frequently a property hosts travelers. By counting how
many reviews each property generated in the 365 days between our two data dives, we
compiled a conservative estimate of places functioning as full-time vacation rentals.
Among whole properties — houses, condos and apartments — listed on the site on May 19
in 2014 and 2015, 352 racked up 26 or more reviews over the year. That includes 104 with
a stunning 51 or more reviews.
For entire units that weren’t on the site last year, 349 had a total of 26 or more reviews.
Some were new listings and some were returning properties, so we can’t say conclusively
that all reviews were accumulated in a single year.
Reviews underestimate usage. Airbnb says only two-thirds of guests leave reviews —
meaning a property with 30 reviews in a year may have hosted 45 unique visitors, nearly
one a week. San Francisco guests stay an average of 5.5 nights, Airbnb says, so 30 reviews
translates into an average of 165 nights of occupancy — and likely more, accounting for
guests who don’t leave reviews.
Overall, the number of reviews for all San Francisco listings surged over the 12 months,
rising by 44,842 to 105,192. Yet the majority of listings had only a handful of reviews,
buttressing Airbnb’s assertion of infrequent usage.
Looking at all categories of properties and including both repeats and the new or returned
listings, 3,242 or 59.3 percent, have 10 or fewer reviews over their entire time on Airbnb.
Another 958 had 11 to 25 reviews, while 639 had 26 to 50 reviews, implying usage
between casual and frequent. But 620 homes and rooms, or 11.4 percent of listings,
amassed 51 or more reviews, implying very heavy usage.
The power of super hosts
Most Airbnb hosts control just a single listing — but 206 hosts control three or more
listings. These “superhosts” account for 4.8 percent of all hosts, but run 18.2 percent
of Airbnb’s San Francisco listings.
Annette Fajardo says it’s no mystery why landlords prefer to rent to short-term visitors.
“The dirty little secret is that owners do this to avoid rent control,” she said. At the same
time, “rent-controlled tenants do it to make money on the units that the owners should be
making money on.”
She’s in a position to know. Her SF Holiday Rentals, in business since 2002, is the city’s
oldest short-term rental management site, she said. She handles 20 to 30 San Francisco
listings and another seven to 10 in Pacifica, listing them on multiple websites, including
Airbnb, HomeAway and its subsidiary VRBO.
Her listings focus on entire homes, many available year-round. About a third are in-law
units; some are second homes; some are small buildings owned by a landlord, including her
own Bernal Heights duplex (she lives elsewhere and rents both units to travelers).
She does this all legally. Her property owners now request a 30-day minimum stay, she
said, exempting them from the new short-term rental law. “They didn’t want the headaches
of working with the government or (officials) snooping into their business practices,” she
said.
The change made her business easier, since she doesn’t have to handle turnover every few
days.
Fajardo is a “super host” on both Airbnb and HomeAway, among the top 10 on both sites
based on number of listings.
Most Airbnb hosts (3,599 people, or 85 percent of hosts) control just a single listing,
accounting for 66 percent of all properties. Another 434 list two properties. Many have a
legitimate reason: Either they rent out two rooms in their home, or they rent out a room
and also offer their entire home when they travel.
However, 205 hosts control three or more listings. These super hosts account for 4.8
percent of all hosts, but control 993 properties — 18.2 percent of Airbnb’s San Francisco
listings.
Many hosts with multiple listings are either property managers like Fajardo or people
running hacker hostels, packing young techies into bunk beds for cheap crash space and
camaraderie.
Properties handled by managers can include ones skirting regulations, as well as those like
Fajardo’s that adapted to become legal. Pillow (22 listings) and Guesthop (15 listings) are
other leading concierge services.
Hacker hostels are problematic, as they may flout a variety of city rules on overcrowding,
according to Scott Sanchez, San Francisco zoning administrator. If they require a 30-day
minimum stay, however, they may be allowed in most districts as group houses, he said.
Airbnb’s top two super hosts both run hacker hostels. Rob, No. 1 with 30 listings, rents
rooms in Tech House SF but does not live there, residents said. Gatz, No. 2, runs Looky
Home with 25 listings.
Another group of people who control multiple listings seems to have turned entire homes
or apartments into year-round pads for travelers. Often they have just a handful of listings
in different parts of the city.
Eighty Airbnb hosts have four to six listings, controlling 374 rentals among them. Generally
that’s too few for them to be property management services — and too many for them to
be legitimately living at those locations. It’s a rare San Franciscan who could rent six
bedrooms at his or her home.
As part of a renewed effort on enforcing vacation-rental laws, San Francisco sent violation
letters this month to hosts in this category, targeting 15 hosts with 72 short-term rentals
around the city. More than half are blocks of multiple units in brand-new high-rises in
SoMa and Mid-Market, while others are two- to four-units buildings entirely devoted to
short-term rentals, the City Planning Department said. The units were listed on various
services, while some had their own rental websites.
“We want to crack down on people taking housing off the market and hurting San
Francisco,” said Tony Winnicker, a senior adviser to Mayor Ed Lee. “But we also want law-
abiding people to be able to do occasional (short-term rentals) because it helps many
people afford to live in our city.”
Part 4 – Airbnb hosts come and go
In the year since The Chronicle’s last data dive, 2,773 listings dropped off of Airbnb —
although they were replaced by 3,492 new listings. July 12, 2015
https://www.sfchronicle.com/airbnb-impact-san-francisco-2015/#4
Bootstrapping a business was eating up her cash, so the San Francisco woman listed her
Marina apartment on Airbnb in 2013. She rented it out about 70 nights a year for $260 a
night. “I would coordinate trips for work and family, camp out with friends or do ‘Airbnb
arbitrage,’ where I’d stay at a less-expensive Airbnb place,” she said. The cute one-bedroom
with views of the Golden Gate Bridge was always snapped up.
“It was a self-perpetuating, ka-ching ka-ching money machine,” she said. “It was such a
relief to know I could always rent it on Airbnb to subsidize my rent.” She made almost a
year’s rent over two years.
But when San Francisco implemented its vacation-rental rules in February, registering her
unit seemed like a hassle. She feared that the city might compel Airbnb to identify hosts
and prosecute those who failed to register.
But her biggest worry — and the reason she declined to be named for this story — is that
short-term renting violates her lease. She took down her listing.
“I felt like I made my hay when the sun was shining, but now it’s over,” she said.
In the year since The Chronicle’s last data dive, 2,773 listings, or 57.8 percent, dropped out
of the site, although they were replaced by a larger number: 3,492 new listings for a net
growth of 719 listings, or 15 percent.
Airbnb says listings often cycle in and out. For instance, people list their house before they
go on vacation and take it down when they return. Indeed, many of the new listings appear
to have had longer tenure than a year.
Tom Slee, an independent researcher and author of the forthcoming book “What’s Yours Is
Mine” about on-demand companies, examined Airbnb churn worldwide, finding an exit rate
of between 50 and 60 percent of listings in cities such as New York, Los Angeles,
Amsterdam, Paris and Barcelona over about a year. At the same time, the entry rate of new
listings always resulted in net growth, he found.
The listings that left generally had only a handful of reviews, implying infrequent usage,
while those that stayed averaged reviews in the double digits, he said.
“My feeling was that it was largely people who tried it, found it wasn’t for them and left,” he
said.
Looking at the Bay Area, including San Francisco, the East Bay and the Peninsula, he found
a 51 percent exit rate, lower than that for the city alone. That props up the idea that San
Francisco is losing more listings due to users’ fears about new regulations and landlord
prohibitions on subleasing.
Part 5 – Flouting the law
While Airbnb cultivates a folksy image of hosts as middle-class locals making ends meet,
HomeAway proclaims its hosts are affluent out-of-towners renting their pied-a-terres. July 12,
2015
https://www.sfchronicle.com/airbnb-impact-san-francisco-2015/#5
While Airbnb cultivates a folksy image of its hosts as middle-class locals making ends meet,
HomeAway proclaims that its hosts are affluent out-of-towners renting out their pieds-a-
terre. “The vast majority of our listings fall into the category that the city is trying to stop:
this ‘evil’ second-home owner, who we don’t believe is evil,” said Carl Shepherd, co-founder
and chief development officer of the Texas company.
Prices for its 1,001 local listings, all private homes, reflect that more upscale image,
averaging $302 in San Francisco compared with Airbnb’s entire-home average of $255.
HomeAway, which owns VRBO and other brands, is up front about the fact that its business
model flouts San Francisco’s new vacation-rental law. In fact, it sued the city, saying the law
was tailored for Airbnb. Most HomeAway properties in San Francisco are second homes
whose owners do not reside here and thus are barred by the new law from renting to
tourists for periods of less than 30 days, HomeAway said in its suit claiming discrimination.
A judge tossed the case on procedural grounds.
Its hosts increasingly request 30-day minimums in San Francisco, Shepherd said, although
only 156 listings specified monthly rates.
People who control multiple properties — often called super hosts — are more dominant
on HomeAway than on Airbnb. Almost half of the HomeAway properties — 461, or 46
percent — are in the hands of someone with multiple listings. They are controlled by 87
hosts, or 14.8 percent of the total.
Hosts with dozens of listings are clearly vacation-management companies like Pillow and
RedAwning Vacation Rentals. That doesn’t prove that their listings are legal or illegal, just
that they belong to other people.
HomeAway functions like a classified listing service, rather than a middleman like Airbnb.
That also means that far fewer reviews appear on its website.
HomeAway said there is about a 10 to 15 percent overlap between its listings and those on
Airbnb worldwide; it didn’t have a breakdown for San Francisco. It has even more overlap
with FlipKey because many large property managers list on both sites, but didn’t have a
specific number.
FlipKey, owned by TripAdvisor Inc., has 359 local properties with an average price of $269.
Super hosts also dominate its site, with 220 properties, or 61.3 percent, in the hands of 35
hosts, or 25.7 percent of hosts.
FlipKey declined to comment.
HomeAway has a big chunk of homes — 148 — controlled by people with just two or three
listings, often in different parts of the city.
Shepherd is frank about the explanation. Most, he presumes, are tenants gaming the
system.
“When someone has several different listings in a city like San Francisco, those are
probably all rented apartments being arbitraged by the renter,” he said. “Arbitrage means I
pay $4,000 a month and rent it (short term) for $300 a night, with or without the landlord’s
permission, but most likely without.”
San Francisco actually abetted such people by regulating vacation rentals, Shepherd said.
“The new law tells you exactly how to skirt it,” he said. “All you have to do is say you live
there 270 days a year. You do have to lie and you do have to obfuscate. But the city is at a
distinct disadvantage because they can’t catch this.”