The Urban Developer
AdvertiseEventsWebinars
Urbanity
Awards
Sign In
Membership
Latest
Menu
Location
Sector
Category
Content
Type
Newsletters
Untitled design (8)
25 DAYS UNTIL OUR UNMISSABLE FLAGSHIP CONFERENCE 29-31 JULY, GOLD COAST
25 DAYS UNTIL OUR FLAGSHIP CONFERENCE 29-31 JULY, GOLD COAST
SECURE YOUR SPOTDETAILS
TheUrbanDeveloper
Follow
About
About Us
Membership
Awards
Events
Webinars
Listings
Resources
Terms & Conditions
Commenting Policy
Privacy Policy
Republishing Guidelines
Editorial Charter
Complaints Handling Policy
Contact
General Enquiries
Advertise
Contribution Enquiry
Project Submission
Membership Enquiry
Newsletter
Stay up to date and with the latest news, projects, deals and features.
Subscribe
ADVERTISEMENT
SHARE
36
print
Print
ResidentialTue 12 Jun 18

Developer Bans Airbnb in New Apartments

34b27271-3c86-4e2b-88c2-50726274b119

A Melbourne-based developer is set to stop buyers from turning their apartments into Airbnb and other short-term rentals.

Property developer Capital Alliance, along with its legal team Ashurst, will create enforceable safeguards for the sales contracts of its new developments, including its new $250 million project in Docklands.

These safeguards include a restrictive covenant on the title and a contractual promise from each purchaser that the property will not be used for short-stay rentals.

The announcement comes amid growing opposition to short-stay letting among strata communities who argue short-term rentals adversely impact the liveability of people's place of residence.

"The take-off of short-term letting platforms has not yet really been properly incorporated into the legal landscape – the law has yet to catch-up with the current commercial practice," Ashurst partner Jason Cornwall-Jones said.

"This means developers and their lawyers need to consider using traditional legal concepts in innovative ways to fill the gap."

Related reading: Airbnb And The Elephant No-One Seems To Be Talking About

The DocklandsImage: Capital Alliance


Capital Alliance's Docklands development will be the first affected, and will also house a new five-star Marriott hotel.

The Docklands has sold over half of its apartments after less than three months on the market, with the majority of buyers local downsizers.

"Airbnb believes in the right of all people to share their own homes if they wish," an Airbnb spokesperson told The Urban Developer.

"Home sharing helps everyday Australians earn a little extra money to pay for their biggest expense: the cost of their housing."

"Unnecessary bans make home sharing and travelling harder and more expensive, as well as hurt the thousands of small businesses that depend on Airbnb guests."

Airbnb Faces Crackdown in NSW

The NSW government last week announced that strata communities across Sydney would be able to decide for themselves whether to ban Airbnb from their apartment blocks.

They also announced it would be regulating the short-term letting service by way of a 180-night limit on the number of nights a property could be rented.

The proposed policy was well received by Airbnb who currently have 55,000 listings in NSW, which is one of the biggest markets in the world for the global short-term letting company.

"We are actively working with governments around Australia to protect the rights of respectful and responsible home sharers while taking a zero-tolerance stance on bad behaviour," a spokesperson from Airbnb said.

"The new rules announced by the NSW government this week are a great example."

"The statewide two-strike rule, combined with an expected fair and reasonable industry code of conduct, will help the industry work with the government to respond in a coordinated way to rare instances of anti-social behaviour."

Victoria is also reviewing whether to regulate short-term stay accommodation.

ResidentialAustraliaTechnologyReal EstateSector
ADVERTISEMENT
TOP STORIES
Exclusive

Carparking Correlation: How Parking Fees Provide Office Sector Health Check

Taryn Paris
6 Min
Molti chief Ben Teague out front of 32 Mercer Road Aramadale (rendering)
Exclusive

Buy to the Sound of Cannons: Molti’s Counter-Cyclical Move to Melbourne

Leon Della Bosca
5 Min
Exclusive

Tapping the Bunnings ‘Halo Effect’

Taryn Paris
5 Min
Exclusive

‘Construction Not a Scale Game’: Hutchinson

Phil Bartsch
9 Min
Nation's build-to-rent project Charlie Parker in Sydney's Parramatta where more projects are being located and built outside the CBD.
Exclusive

Foreign Capital Still Dominates BtR but Things are Changing

Marisa Wikramanayake
7 Min
View All >
ESR building ESR completes delisting
Industrial

ESR Reveals New Team After Hong Kong Delisting

Leon Della Bosca
the four concept towers approved for sydney metro's parramatta precinct
Development

Rush of Approvals Sends Parramatta Skywards

Renee McKeown
Bunnings Clyde North
Markets

Bunnings Sold On as Charter Hall Doubles Down on Retail

Leon Della Bosca
The property giant has paid $315 million for shopping centres in Melbourne and Sydney as its repositioning gains steam… …
LATEST
ESR building ESR completes delisting
Industrial

ESR Reveals New Team After Hong Kong Delisting

Leon Della Bosca
3 Min
the four concept towers approved for sydney metro's parramatta precinct
Development

Rush of Approvals Sends Parramatta Skywards

Renee McKeown
2 Min
Bunnings Clyde North
Markets

Bunnings Sold On as Charter Hall Doubles Down on Retail

Leon Della Bosca
2 Min
Exclusive

Carparking Correlation: How Parking Fees Provide Office Sector Health Check

Taryn Paris
6 Min
View All >
ADVERTISEMENT
Article originally posted at: https://theurbandeveloper.com/articles/capital-alliance-anti-airbnb-safeguards