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Editorial: Time to put Airbnb issue to bed

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Faith Embleton, owner and operator of Embleton House Bed and Breakfast, wonders why she is paying to have a legitimate, registered business when anyone in the city can rent a room in their home to tourists. Embleton said it is not about losing business to the website Airbnb SA¹ú¼ÊÓ°ÊÓ´«Ã½“ she said she just does not understand why the city is not concerned about unlicensed and unregistered bed and breakfast operators.

 

 

THE ISSUE:

Short-term rentals

WE SAY:

A long-term headache for council

 

The international short-term rental phenomenon known as Airbnb has come a long way since the companySA¹ú¼ÊÓ°ÊÓ´«Ã½™s San Francisco founders decided in 2007 to plop an air mattress in their living room and turn their apartment into a bed and breakfast, in order to beat the high cost of rent in that tech-heavy city.

After the original airbedandbreakfast.com website was launched, it grew to an international business, offering everything from more intimate shared spaces such as couches in apartments, to private rooms, apartments, entire homes and even industrial-style properties.

While not for everyone SA¹ú¼ÊÓ°ÊÓ´«Ã½” there have been horror stories of dishonest advertising leading to poor-quality lodgings SA¹ú¼ÊÓ°ÊÓ´«Ã½” the Airbnb brokering service has rocked the hospitality sector and also forced communities across the globe to reckon with these new short-term rentals.

Many cities have seen vacancy rates for apartments squeezed as landlords opt for the higher payback of short-term Airbnb rentals SA¹ú¼ÊÓ°ÊÓ´«Ã½” and the ease of using the airbnb.ca website, and other similar platforms SA¹ú¼ÊÓ°ÊÓ´«Ã½” over medium and long-term apartment and house rentals to people who actually live in the communities.

Bed and breakfast owner Faith Embleton has been asking the city to clamp down on Airbnbs, which are unregulated in Yellowknife. City council must strike a balance between protecting legitimate business owners like Embleton and not being too heavy handed with homeowners in Yellowknife who have come to rely on renting out rooms in their homes to help make ends meet.

This can also force up rent prices and result in a new class of de facto hotels, slipping into a tourist market on the cheap and causing a headache for existing bed-and-breakfast businesses and hotels, who have played by the rules and obeyed all local regulations.

Yellowknife city council has been grappling with this issue for two years, during which time it has seen tourism numbers soar, at times seeing no vacancies of any type being available.

Currently, short-term rentals in Yellowknife are not regulated, but a couple of dozen or so bed-and-breakfasts are, under the citySA¹ú¼ÊÓ°ÊÓ´«Ã½™s business licence bylaw.

In the past two years, council has hemmed and hawed over how to regulate the entire short-term rental industry SA¹ú¼ÊÓ°ÊÓ´«Ã½” perhaps by easing rules for existing BnBs SA¹ú¼ÊÓ°ÊÓ´«Ã½” in a way that wouldnSA¹ú¼ÊÓ°ÊÓ´«Ã½™t hinder it.

Should owners of short-term rentals be required to live in the space? In an economy with a high cost of living such as Yellowknife, property owners can supplement their income and allow for better use of their major investment SA¹ú¼ÊÓ°ÊÓ´«Ã½” their home. And as Yellowknife finds itself turning to tourism to bolster what is predicted to be a sagging economy due to a drop in resource extraction, the availability of short-term rentals SA¹ú¼ÊÓ°ÊÓ´«Ã½” such as AirBnB, VRBO and others SA¹ú¼ÊÓ°ÊÓ´«Ã½” keeps Yellowknife current with other destinations and is something many travellers expect to see.

Visitor and resident safety has been discussed by council, as was the practicality of being able to enforce licence compliance on more than a hundred new businesses.

City council is currently still mulling over draft regulations for short-term rentals.

Clearly the free-for-all that's going on now can't endure but council must realize if it makes the licensing process too onerous, it will only hurt the city's bottom line, as it would just be one more nail in the coffin for people wondering if they can continue to afford living here. It could also hurt our growing tourism sector, with all the revenue that brings SA¹ú¼ÊÓ°ÊÓ´«Ã½” especially once the long-awaited tourism levy is brought in.

Yellowknifer would like to see one requirement being that Airbnb owners live in the home. That would help protect the existing BnB owners, such as Faith Embleton, who went through all the hoops trying to establish a legitimate business.

And all advertising or promotions done by any short-term rentals must include the citySA¹ú¼ÊÓ°ÊÓ´«Ã½™s licence number, to prove the playing field has been levelled.

But this Airbnb issue has dragged on for far too long. ItSA¹ú¼ÊÓ°ÊÓ´«Ã½™s time for council to put it to rest.





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