Airbnb has slammed Byron council’s plans to proceed with recommendations for a 60-day cap on short-term rentals in the shire.
Byron council’s decision seeks to amend policy to allow for the cap to take effect.
Byron residents and businesses are happy for the change yet Airbnb have slammed the decision.
Michael Crosby, head of public policy at Airbnb in Australia and New Zealand told the Northern Star the “recent proposal from Byron Shire Council must be urgently reconsidered”.
“It will fail to address housing supply issues and will have unintended and irreversible consequences for the town’s visitor economy,” Mr Crosby said.
Restricting accommodation options to even 90 days would cost the local economy $100 million according to an expert economist.
“The impact of the suggested 60 nightcap will have even greater economic consequences,” Mr Crosby said.
“To date, there is minimal evidence to suggest that lowering the nights cap would free up the availability of housing in the Byron Shire.”
Statewide regulations currently oversee short-term rental accommodation in NSW which includes mandatory registration and a code of conduct to oversee behaviour.
Airbnb want to see the current 180 nightcap in the Byron Shire to continue.
“Housing affordability and supply is a challenging and complicated issue,” Mr Crosby said.
Citing the supply of new homes, ratio of public housing, numbers of empty dwellings and rooms to interest rates and the broader economy, Mr Crosby said these predate the founding of Airbnb by “decades”.
“If introduced, a 60 nightcap will place hosts in Byron Shire on a vastly unequal footing.
“It will ultimately hurt guests, local businesses and communities across the area by reducing choice, availability, and affordability of accommodation.”
“Absolutely we’ve endorsed it,” Byron Shire Mayor Michael Lyon told the Northern Star.
“We’ve made that clear.”
Byron council have hired a King’s Counsel to assist with writing up the regulations needed for the recommendation.
“They’ve requested a little bit of information around what we’re doing on housing more broadly,” Mr Lyon said.
“I’ll be happy to enlighten them as to all the things that we do in Byron Shire that we’re working on and planning to deliver the housing we need.”
With the “vast majority” of the Byron Shire in support of the 60-day cap the ball has been hit back into the governments court.
“It’s up to government now, local and state to implement the recommendations of the independent trade commission.
“The community and our local businesses need it because they need the homes for workers,” Mr Lyon said.
“That includes those that work in tourism.”
A total of 92 per cent of Byron Shire businesses are in favour of regulations of holiday letting.
Council will be sending their updated proposal to the NSW Planning Minister Paul Scully this week.
“Hopefully we can get a strong endorsement and get this done and dusted by November this year,” Mr Lyon said.
Byron housing advocate Liz Friend, of Byron Deserves Balance, said the commercialisation of Byron must stop.
“They’ve caused a massive housing crisis and a huge amount of homelessness,” Ms Friend said. “Over inflated rents are too much for locals to pay.”
The Byron Deserves Balance submission was sent into the IPCN on behalf of nearly 6000 members of the Byron community.
“We are happy with the result.”
Byron pensioners Neil McGregor and his wife said, like others, they relied on income generated from short-term rental to support them in retirement.
“The proposal will seriously impact our income,” Mr McGregor said in his submission.
“This proposal to limit and restrict our approved use of our property is illegal and immoral in its proposal.”
Property investor Tracie May said that the cap would drive workers to other towns seeking affordable rentals or work.
“The cap will leave a large number of investors forced to sell their properties due to insufficient income to pay their mortgages that were taken out relying on STRA income,” Ms May said.
Ms May said if they had known this rule would have changed they never would have bought in Byron because “the permanent rental amount does not pay the mortgage”.
Byron councillor Alan Hunter agrees with the proposal yet said if Byron Council is going to solve the housing problem it will be “a combination of things”.