Landlords aren’t known to be the biggest fans of Airbnb, especially when tenants sub-lease spaces on the platform without letting them know. The practice of Airbnb sub-renting raises issues about security, legality, and business.
But perhaps not for long. In an effort to loop in landlords and give ‘em a slice of the profit pie, Airbnb has just launched the Airbnb Friendly Building Program. The new initiative would let building owners elect to work with Airbnb, giving tenants permission to list their homes on the site as long as they follow landlords’ terms for length of stay and share of the profits. The program will only operate in cities where short-term rentals are allowed (hint: not New York) and include market-rate units.
In exchange for their blessing and involvement, landlords will get between 5 percent and 15 percent of the host fee.
Airbnb already rolled out the program in a pilot study in April, with more than 1,100 homes in cities like San Jose, Philadelphia, and Nashville. The company has said that the landlords already signed up for the program range from smaller "mom and pop" operations to large companies owning tens of thousands of units.