Airbnb slams Christchurch's new house sharing rules as 'most restrictive in Australasia'

Tuesday, 5 April 2022

People renting out homes for short-term accommodation will now have to apply for a consent. (File photo)

New rules governing Airbnb-style accommodation in Christchurch are being described as “the most restrictive and outdated” home-sharing laws in Australasia, but others say the rules do not go far enough.

People who rent out properties as unhosted visitor accommodation in residential areas will now have to obtain a resource consent, which will cost at least $1000 but will not expire.

The Christchurch City Council plans to place new rules on people renting out their homes to short-term visitors. (First published December 2020)

Christchurch City Council made the decision last week following a lengthy process to change the District Plan. The decision can be appealed to the Environment Court.

The council has been figuring out how to regulate the short-term accommodation industry since at least 2018.

* Holiday accommodation shortage fears in Akaroa if 'Airbnb crackdown' passes

Airbnb says the new rules in Christchurch are the most “restrictive and outdated” in Australasia.

* Plans to regulate Christchurch's Airbnb sector 'unlikely to fix the issues'

* Proposed plan to restrict Christchurch's Airbnb-style accommodation 'anti-tourism'

* Bookabach calls for reduced compliance costs for competitors

* Motel owners struggle to compete with Airbnb

Under the new rules a consent will be needed for homes rented out for less than 60 nights a year for a maximum of six guests. The council can not decline the application – it can only put conditions on the consent. This is likely to cost about $1000.

Airbnb says the new rules put at risk Christchurch’s ability to secure and host major events in the region.

If a property is being rented out for more than 60 nights a year with up to 12 guests it will be classed as a “discretionary activity”. Again, a consent is needed, but the council can consider impacts on neighbours, including noise and traffic movements, before deciding whether to grant or decline the consent.

This also applies to homes being rented out for less than 60 nights with between six and 12 guests.

Council head of planning and consents John Higgins said the fees to process a discretionary activity consent, without notification to neighbours or the wider public, could range from $1500 to $4000.

However, the cost was likely to be more if neighbours had to be notified.

Consent was not needed if people who live in the home rent out rooms for up to six guests.

The council conservatively estimated pre-Covid about 1600 homes were listed on various home-share websites in the city.

Council’s urban development and transport chairman Cr Mike Davidson said the new rules ensured the council was able to effectively manage the effects of short-term accommodation and any negative impacts on residential neighbourhoods.

However, Airbnb New Zealand and Australia manager Susan Wheeldon said at a time when New Zealand’s borders were set to open to international travellers and every region in the country was vying for long-awaited tourism dollars, the Christchurch City Council was moving forward with some of the “most restrictive and outdated home sharing laws in Australasia”.

Some groups are welcoming the new house sharing rules.

“Council has accepted recommendations that severely restrict how locals share their own homes, which will only serve to hurt jobs and the livelihoods of many at a time when economic recovery is more important than ever.”

Wheeldon said the rules would make it harder for Cantabrians to use their home to earn an extra income and combat rising costs of living.

“These rules will make it harder for visitors to stay in Christchurch, leading to guests - and their tourist dollars - making their way to neighbouring council areas with less restrictive rules and a better, more affordable range of accommodation.”

Wheeldon said the rules put at risk Christchurch’s ability to secure and host major events in the region.

She did not say if Airbnb would appeal the decision.

Bookabach director of governance and corporate affairs Eacham Curry said the company was still trying to understand the full implications of the changes and had not yet ruled out an appeal.

He said the company had concerns the consenting process would be unnecessarily difficult and expensive to comply with.

Christchurch Holiday Homes business director Sue Harrison said her company was not against complying with rules, but she was concerned about how difficult it would be to get a consent.

Auckland Council and Queenstown Lakes District Council have also passed legislation to introduce higher rates and tighter regulations on short-term accommodation.

Hospitality New Zealand (HNZ) welcomed the changes, but wanted building consent rules to be added.

HNZ Canterbury branch president Peter Morrison said the council needed to make it clear to anyone starting a visitor accommodation activity that they would need to obtain a building consent for change of use.

He said there were about 2000 to 3000 buildings and apartments being used for visitor accommodation that did not have the required building consent for the change of use from residential to commercial.

“Many, if not all, of them will not have the correct fire systems and accessibility as required under the Building Act.”

Motel and hotel operators were required by law to have these consents, he said.

In rural zones, unhosted visitor accommodation is permitted provided the unoccupied property is rented out for less than 180 nights a year.