On Thursday, Airbnb Inc filed a lawsuit against NYC over a proposed de facto ban on short-term rentals, which the company said will limit the number of people who can host reservations in the city.
In some cases, cities require hosts to obtain licenses and pay registration fees or limit the number of short-term rental locations in business districts.
The company's suit, filed in the state Supreme Court, states that NYC's city council, through legislation passed in 2022, effectively implemented its most extreme and oppressive regulatory regime yet, which operates as a de facto ban on short-term rental in New York. Airbnb said today s filing came only after exhausting all available paths for a sensible solution with the City. The filing also notes that the law will make it harder for hosts to do business, requiring them to register with the New York City Mayor's Office of Special Enforcement (OSE) and to certify that they will comply with the maze of complicated regulations for zoning, multiple dwelling law and housing maintenance code as well as construction code.
The OSE application reviews will ensure only a minimal number of hosts will ever be granted a registration, Airbnb said in a statement.
The OSE did not immediately respond to a request for comment.
Airbnb said in a statement that beginning in the first week of July, more than 55,000 short-term rental rooms are available to host more than 10,000 guests in New York City.
The company said in its filing that a previous law which went into effect in 2021 prompted 29,000 guests to leave the short-term rental market in New York. Airbnb's revenue in New York City in 2022, according to the filling, was $85 million.