Why everybody should care that Barcelona is looking to ban Airbnb

Why everybody should care that Barcelona is looking to ban Airbnb
Sofia Geraghty
By Sofia Geraghty


While droves of tourists are a boon to global city economies, the impact of over-tourism is starting to be felt with the mayor of Barcelona the latest to look at a ban on short-term rentals, such as Airbnb, by 2028.

Mayor Jaume Collboni said the city would scrap the licenses of 10,101 apartments approved as short-term rentals adding they would become open to locals instead.

 

The move becomes even more interesting when you consider Barcelona’s position in the global tourism landscape.

Spain is the second most-visited country in the world and Barcelona – with its stunning beaches and world-famous historical sites – is arguably the jewel in its crown. 

However, whilst droves of tourists visiting this European hotspot are certainly helping to support the economy – 12 per cent of Spain’s total GDP comes from tourism and a recent survey has shown a strong correlation between Spain’s visitor numbers and its economic health – on the ground, the problems of over-tourism are starting to become apparent.

According to Spanish publication El Pais, rents in Barcelona are the highest they have ever been, rising 68 per cent since 2014.  As we have seen in other densely populated cities such as London, New York and Sydney, the skyrocketing cost of rent means that young people native to Spain have been priced out of the city.

Spanish locals have not held back on their views about the impact of tourism. Back in April, 57,000 people took to the streets of the Canary Islands to protest changes to the models of mass tourism. Just this week Majorcan locals stopped tourists from reaching an Instagram-famous beach, telling them to “go, go”.

The Spanish government currently has a tourism strategy in place for 2030 which aims to move the country’s tourism to a place that is “more sustainable, more profitable and higher quality”. 

Barcelona is not the only country to start seeing a backlash against short-term rentals. In September last year,  new laws were introduced in New York City which means owners are no longer allowed to rent a whole apartment out for any length of time under 30 days.

The host must also register the property with the city and physically share the living quarters with the guest for the duration of the stay. There is also a limit of two guests at any one time, effectively barring family and group travel.

Thousands of properties dropped off the Airbnb platform in New York City as a result of the new laws and Theo Yedinsky, the global policy director of Airbnb said the rules are a blow to, “the thousands of New Yorkers and small businesses in the outer boroughs who rely on home sharing and tourism dollars to make ends meet.”

New rules apply to Airbnbs in New York City.

In Florence, Italy, new short-term rentals in the city’s historic centre have been banned in a bid to attract full-time residents to one of the country’s most popular destinations.  The mayor of Florence, Dario Nardella, announced a tax incentive for owners who convert their property back to long-term rental.

Closer to home the idyllic coastal hub of Byron Bay on the NSW far north coast was also advised by the state’s Independent Planning Commission to apply a 60-day cap to short-term rentals in the area in a bid to support rental availability and affordability. Byron Bay Mayor Michael Lyon told the ABC he was “ecstatic” to hear the news at the time.

The financial returns from short-term rentals are up to 80 per cent more than those for similar long-term rentals, according to one new report.

Airbnb has, in Australia at least, flatly denied that short-term rentals lead to a boom in housing affordability.

In a press update, it said: “Short-term rentals make up only 1 to 2 per cent of the total housing stock in Australia” and there is “no strong correlation between the number of homes used as short-term rentals and rental affordability or vacancy rates”.

“Poor housing affordability outcomes in certain locations around Australia are likely the result of a range of other factors, such as limited housing supply, and interest rates, rather than simply the growth in the number of short-term rental properties.”

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