2019-02-12 Services & Organisation Committee Agenda

SERVICES & ORGANISATION COMMITTEE MEETING AGENDA                                       12 FEBRUARY 2019


7                        SHORT TERM ACCOMMODATION ONLINE PLATFORM ISSUES PAPER
DOCUMENT INFORM AT ION




Authors                          Director Corporate Services, Michael Shave
                                 (Corporate Services Department)
                                 Director Environment and Sustainable Development, Kim Rawlings
                                 (Environment and Sustainable Development Department)

Index                            ECM/ Subject/Revenue Management/Tourism Levy

Attachments                      1.   Short Term Accommodation Online Platform Issues Paper (42 page
                                      attachment provided separately to this agenda)




EXECUTIVE SUMMARY
Not applicable.

RECOMMENDATIONS
That Council note the report by the Director Corporate Services and Director Environment and
Sustainable Development to the Services & Organisation Committee Meeting dated 12 February
2019 and note the Short Term Accommodation Online Platform Issues Paper.


REPORT
In recent years there has been a significant increase in the short-term home rental market, in
large part facilitated by the popularity of online accommodation share economy platforms such as
Airbnb and Stayz. These online platforms link hosts and travellers, providing a structured online
portal for booking, communication with a streamlined payment gateway.

Since Airbnb was launched in Australia, the number of listings has risen to over 130,000
properties. Nationally, Airbnb listings for whole homes represent around 3.5% of all rental
accommodation. However, the rate is much higher in coastal communities and high tourist areas.
For example, in Byron Bay, approximately 18% of the total housing stock is offered on Airbnb.
Taken as a percentage of the total rental housing stock in that local government area, this
amounts to 48.3% of Byron Bay’s housing rental properties being listed on Airbnb alone.

Whilst online accommodation share economy platforms have had an enormously positive impact
on tourism innovation and growth in the Noosa region, the logical extension of this business
model is to drive more people to host and travel through these platforms. This inherently values
the vibrancy and tourism amenity of a neighbourhood higher than community connectivity and
social capital.

It is reasonable to contend that Airbnb, Stayz etc. are in part succeeding commercially at the
expense of community and residential liveability, by contributing to the negative consequences of
increased visitation and infiltration into residential areas. It may also be viewed that the reliance
of Airbnb, Stayz and others on peer-to-peer transactions within the sharing economy is
concealing a problematic shift toward outsourcing of responsibility and liability, avoidance of
consumer protections including adherence to safety regulations, and disruption of once stable
industries.

Local and State governments (including Noosa) are now grappling with how to address the
consequences and implications of the rapid uptake in usage of online booking platforms. Existing
planning policies and planning schemes have not typically had the capacity to address these

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