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Olympic committee's deal with Airbnb angers Paris authorities | Olympic committee's deal with Airbnb angers Paris authorities |
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Mayor of 2024 host city has promised to rein in website, blamed for pushing up rents | Mayor of 2024 host city has promised to rein in website, blamed for pushing up rents |
Paris city authorities have reacted angrily to what they call a “risky” deal between the Olympic committee and the short-term tourist rental company Airbnb. | Paris city authorities have reacted angrily to what they call a “risky” deal between the Olympic committee and the short-term tourist rental company Airbnb. |
Officials in the French capital, which will host the 2024 summer Games, blame Airbnb for causing a shortage of long-term rental property in the city, pushing up rents and forcing the middle class out. | Officials in the French capital, which will host the 2024 summer Games, blame Airbnb for causing a shortage of long-term rental property in the city, pushing up rents and forcing the middle class out. |
The mayor, Anne Hidalgo, has expressed her “total determination” to rein in the website and has threatened to ban it in certain areas of central Paris. | The mayor, Anne Hidalgo, has expressed her “total determination” to rein in the website and has threatened to ban it in certain areas of central Paris. |
The French capital is one of Airbnb’s biggest markets with an estimated 60,000 listings – up from just 4,000 in 2012. The company signed a nine-year sponsorship deal with the International Olympic Committee (IOC) on Monday. | The French capital is one of Airbnb’s biggest markets with an estimated 60,000 listings – up from just 4,000 in 2012. The company signed a nine-year sponsorship deal with the International Olympic Committee (IOC) on Monday. |
Hidalgo, a Socialist who is seeking re-election as mayor next year, has already introduced measures forcing Airbnb owners to limit rentals to 120 nights a year and to register their properties with City Hall, which is taking legal action seeking a €12.5m fine against the company for failing to punish those who fail to do so. | Hidalgo, a Socialist who is seeking re-election as mayor next year, has already introduced measures forcing Airbnb owners to limit rentals to 120 nights a year and to register their properties with City Hall, which is taking legal action seeking a €12.5m fine against the company for failing to punish those who fail to do so. |
In a letter to the IOC’s head, Thomas Bach, before Monday’s deal, Hidalgo had warned that any tie-up would be “risky”. | In a letter to the IOC’s head, Thomas Bach, before Monday’s deal, Hidalgo had warned that any tie-up would be “risky”. |
“By removing a significant number of lodgings from Paris, Airbnb contributes to rising rents and worsens the shortage of apartments on the rental market, at a cost for all Parisians, in particular the middle class,” Hidalgo wrote. She also accused Airbnb of “destabilising local businesses and competing harshly with traditional hotels”. | “By removing a significant number of lodgings from Paris, Airbnb contributes to rising rents and worsens the shortage of apartments on the rental market, at a cost for all Parisians, in particular the middle class,” Hidalgo wrote. She also accused Airbnb of “destabilising local businesses and competing harshly with traditional hotels”. |
The mayor has threatened to severely curb and even ban short-term tourist rentals in parts of the city if tighter restrictions are not put into place. Last month, the French upper house, the Sénat, approved a measure allowing local authorities across the country to reduce this to between 60 and 120, but the move is unlikely to pass the Assemblée Nationale. | The mayor has threatened to severely curb and even ban short-term tourist rentals in parts of the city if tighter restrictions are not put into place. Last month, the French upper house, the Sénat, approved a measure allowing local authorities across the country to reduce this to between 60 and 120, but the move is unlikely to pass the Assemblée Nationale. |
Jean-François Martins, the deputy mayor in charge of sports and tourism, said if Hidalgo was re-elected City Hall would organise a “referendum” immediately after next year’s elections so Parisians could decide “the conditions for Airbnb usage” in the city. | |
“She believes that Airbnb has a nefarious impact on housing. Parisians will have the choice of several options, including the possibility of banning Airbnb in certain areas,” he said. | “She believes that Airbnb has a nefarious impact on housing. Parisians will have the choice of several options, including the possibility of banning Airbnb in certain areas,” he said. |
Joe Gebbia, Airbnb’s co-founder, said the IOC partnership “will ensure that the Games are the most inclusive, accessible and sustainable yet”. | Joe Gebbia, Airbnb’s co-founder, said the IOC partnership “will ensure that the Games are the most inclusive, accessible and sustainable yet”. |
Ian Brossat, the deputy mayor in charge of housing, said he regretted the IOC’s choice of partner “at a time when many cities in Europe and the world are fighting back against Airbnb”. | |
He added it was “totally irresponsible given the disastrous consequences Airbnb has had on our towns and cities”. | He added it was “totally irresponsible given the disastrous consequences Airbnb has had on our towns and cities”. |
“We are dealing with a company that doesn’t have the means to pay its taxes in France but can find the means to sign a deal with the IOC,” Brossat added. | “We are dealing with a company that doesn’t have the means to pay its taxes in France but can find the means to sign a deal with the IOC,” Brossat added. |