If you read this blog often, you know that short term rental (STR) “party houses” have been a central issue in a lot of municipal politics, and none more so than in Scottsdale, the tourism center of Arizona (you can read our full coverage on the issue here). The pace of regulation has been a pain point for many residents, as cities have had to fight the state as well as the judicial system in order to help improve livability and corral the excesses of unregulated short term rentals.
Perhaps we were collectively looking at this issue the wrong way however…what if instead of relying on politicians and government, we should innovate our way to a solution? What if the ones who benefit from loose STR policies might hold the key? As odd as this might sound regarding this particular issue, it might not be as strange as it seems.
AirBnb, the largest STR operator in the country, is unveiling its version of anti-party house “technology” nationally starting at the end of this year, just in time for anticipated New Years Eve parties. It will be utilizing data it has generated and feedback it has received to identify bookings that it deems to be of a high risk of being problematic and blocking those people from the site and redirecting them elsewhere. Calling it technology might be overselling it, as at a glance it doesn’t exactly sound proprietary as much as modeling their client’s behaviors, but it’s a start.
For instance, if someone young is booking a mansion for two nights in Scottsdale right around New Year’s Eve, there’s a strong chance that they’ll be throwing a disruptive party there. If that person has also had complaints submitted about them, then it’s even more likely that they’re up to no good.
To be honest, it’s a bit surprising that a company that has been in business for 17 years now has only now found a relatively common-sense way to identify problematic users. It has held this information the entire time and it certainly seems that it spent far, far more of its efforts blocking regulations than it did listening to residents and fixing problems. One could have reasonably expected real technology, just as sensors and integration with law enforcement technology, in order to reign in the problem and block necessary users.
Additionally, AirBnb is only one place to go for short term rentals. According to AirBnb itself, there are 75-100 short term rental operators in the state, and blocking one just makes their efforts a bit more difficult. Besides, someone could ostensibly just set up a new account if they are blocked.
Complaints aside, this is a step in the right direction, even if it was one that should have been taken years ago. For a city like Scottsdale however, it clearly won’t be a complete solution. That will take a team effort between STR operators, legislators and elected leaders, as well as law enforcement. But it is at least a step forward.