AirBnB generated $632M for city last year: study

New York /
Oct.October 22, 2013 09:15 AM

AirBnB is moving past community petitions in its fight with New York state attorney general Eric Schneiderman, focusing instead on the service’s economic impact on the city. The popular short-term rental website will release a study today showing that it generated $632 million for New York City’s economy last year, by catering to visitors who couldn’t afford conventional hotel rooms — enabling them to stay here longer and spend more money in the city.

Earlier this month, New York Attorney General Eric Schneiderman subpoenad AirBnB’s data on over 15,000 host users in New York City, as part of an investigation into illegal short-term stay hotels. The site has attracted about 416,000 visitors between August 2012 and July 2013, the company claims.

“It’s really important to understand that this isn’t a weird underground activity that a couple of hundred of people are doing,” David Hantman, AirBnB’s global head of public policy, told the Wall Street Journal. “It makes sense to make this safe and transparent by taxing it and moving forward,” he said.

On average, AirBnB users spend 6.4 nights in the city, spending $420 on accommodations and a total of $880 during the day, according to the study. In comparison, hotel guests stayed, on average, for 3.9 nights, spending $535 on accommodation and $695 during the day.

Lisa Linden, a spokesperson for the Hotel Association of New York City, a trade group that has been battling AirBnB, told the newspaper that hotels “are terrific employers and often provide entry level positions for people looking to enter the workforce in New York.” [WSJ]  – Hiten Samtani


Related Articles

arrow_forward_ios
From left: Mayor Bill de Blasio, 54 West 39th Street, 62 Grand Street, and 208 West 30th Street (Credit: Google Maps)
The Airbnb crackdown continues: City targets three more buildings
The Airbnb crackdown continues: City targets three more buildings
Mayor Bill de Blasio and Stanley “Skip” Karol, an Airbnb host (Credit: Getty Images and Youtube)
Airbnb host narrowly clears hurdle in First Amendment claim against city
Airbnb host narrowly clears hurdle in First Amendment claim against city
A West Village Airbnb listing (Credit: Airbnb)
Airbnb Luxe launched without listings in one of their biggest potential markets — why?
Airbnb Luxe launched without listings in one of their biggest potential markets — why?
The glamping tent (Glamping Hub, iStock)
Happy glamper: Tented Airbnb only miles from Hawaii volcano
Happy glamper: Tented Airbnb only miles from Hawaii volcano
From left: 121 West 26th Street, Watermark’s Brendan Medzigian and Two Kings Principal Christopher Wang (Google Maps, Watermark , LinkedIn)
Watermark Capital sells Holiday Inn in Chelsea for $80 million
Watermark Capital sells Holiday Inn in Chelsea for $80 million
The Indie Cultivate event and Independent Lodging Congress president Andrew Benioff (Independent Lodging Congress)
Is innovation dead? These real estate disruptors say no
Is innovation dead? These real estate disruptors say no
From left: Brookfield’s Brian Kingston and Hospitality Investors Trust's Jonathan P. Mehlman with Hilton Garden Inn Monterey (Brookfield, Hospitality Investors, Hilton)
Brookfield hotel REIT sues insurers for denying pandemic claims
Brookfield hotel REIT sues insurers for denying pandemic claims
Joe Chetrit with Empire Hotel (Empire Hotel)
Chetrit secures lifeline at Empire Hotel
Chetrit secures lifeline at Empire Hotel
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...