Scott Rechler’s RXR nearing unorthodox partnership deal with Airbnb

Its the latest effort by the $35B home-sharing firm to workaround strict city laws that have hindered its business

TRD New York /
Apr.April 18, 2019 12:24 PM
Airbnb CEO Brian Chesky and RXR Realty CEO Scott Rechler (Credit: Getty Images and iStock)

Airbnb CEO Brian Chesky and RXR Realty CEO Scott Rechler (Credit: Getty Images and iStock)

Airbnb is negotiating a partnership with Scott Rechler’s RXR Realty to provide apartment-style hospitality spaces in commercial buildings.

The startup, valued at $35 billion, is navigating options to workaround city laws that have hampered its operations here. With RXR, the short-term rental firm is planning to operate hospitality spaces in existing commercial buildings with a goal to target professionals and business travelers, according to Politico.

New York City council has targeted users of Airbnb in the city for short term rentals and set up a task force to issue violations against people who lease apartments for short term rentals without being present. Some landlords have even been accused of harassing rent-stabilized tenants and by using Airbnb in their buildings.

But the city laws don’t apply to commercial buildings or hotels, which would offer a workaround for Airbnb if it strikes a deal with RXR to use its commercial buildings. RXR owns 15 commercial properties in New York, including 12 in Manhattan.

“Airbnb is always exploring partnerships as we work to build an end-to-end travel platform that combines where you stay, what you do and how you get there, all in one place, but we have no news to share at this time,” the company said in a statement.

Airbnb is currently battling the city on a new law that requires it to provide huge amounts of data on its listings. Parallel to that, Airbnb is trying to work with legislators in Albany to legalize its business. [Politico] — David Jeans


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?
WIll Smith as the Fresh Prince and the Los Angeles mansion (Getty, Airbnb)

Stay at the “Fresh Prince of Bel-Air” mansion for $30/night

Stay at the “Fresh Prince of Bel-Air” mansion for $30/night
HelloFresh’s NYC HQ (Courtesy of Industry City, HelloFresh by Eric Laignel)

HelloFresh inks Industry City deal for content studio

HelloFresh inks Industry City deal for content studio
A rendering of the Climate Solutions Center with Trust for Governors Island CEO Clare Newman and Mayor de Blasio (Rendering via WXY architecture + urban design/bloomimages; Governor's Island; Getty)

Going green: Governors Island could soon house climate center

Going green: Governors Island could soon house climate center
Nightingale’s Eli Schwartz and 111 Wall Street (Credit: Google Maps)

Nightingale, Wafra seek $860M to redevelop 111 Wall Street

Nightingale, Wafra seek $860M to redevelop 111 Wall Street
The Real Deal founder and publisher Amir Korangy and Massey Knakal founder Bob Knakal

JLL’s Bob Knakal on the future of New York

JLL’s Bob Knakal on the future of New York
arrow_forward_ios

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

Loading...