Airbnb’s Real Estate Chief Discusses New Apartment Venture
In November, Airbnb launched a new venture that aimed to boost its supply of apartment listings by offering multifamily landlords a slice of the revenue.
The idea was, in part, to legitimize a common practice: tenants circumventing their lease agreements by offering their units as short-term rentals to nab some extra cash while out of town.
“There are roughly 45 million rentals in the U.S., and the vast majority of those rentals do not allow part-time hosting on Airbnb,” said Jesse Stein, the platform’s global head of real estate. “We wanted to create a program where the individuals that rent have the same economic benefits as the individuals that host their homes on Airbnb.”
To make it happen, Airbnb has partnered with some of the nation’s largest apartment owners, including Greystar, Equity Residential, and most recently, Starwood Capital Group, offering them the chance to earn up to a 25 percent commission on the units their tenants list.
On a new episode of The Real Deal’s weekly podcast, “Deconstruct,” Stein breaks down how the program works, and why Airbnb believes both landlords and tenants stand to benefit.
“It’s a win-win for all stakeholders,” Stein said.
Tune in for the full conversation on Apple, Spotify, Audible or wherever you get your podcasts.