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Hotel operators push for law against ‘simply illegal’ Airbnb hosts and users in Hong Kong

Trade group argues home-sharing service that had 5,000 residential properties in city listed on its website last year is unsafe

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Airbnb, a home-sharing online service, says it recognises the need to strike a balance between embracing innovation and addressing industry concerns. Photo: AFP/ John MACDOUGALL

Hong Kong’s hoteliers have united to demand a law that would punish Airbnb users – hosts and guests – and allow authorities to raid flats suspected of being unlicensed holiday rentals.

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The Federation of Hong Kong Hotel Owners, which represents 90 per cent of businesses in the industry, said on Tuesday while Airbnb was not a direct competitor, the home-sharing service was “simply illegal” and must be opposed “as a matter of principle”.

Under the Hotel and Guesthouse Accommodation Ordinance, premises that offer sleeping accommodation for a fee over a period of less than 28 days must be licensed. But many hosts advertising on home-sharing sites were unlikely to have done so, critics said.

Hong Kong police warn of fake Airbnb website used to con lodger out of HK$26,000

“Airbnb has been operating illegally under the guise of a shared economy. But what have they really shared with the Hong Kong community?” Michael Li Hon-shing, the federation’s executive director asked.

What has Airbnb really shared with the community?
Michael Li, Federation of Hong Kong Hotel Owners

Around 5,000 properties in the city – most of which are residential flats – were listed as temporary lodging on Airbnb last year. About 300 were available at a given time, compared with 79,000 hotel rooms on offer.

The city’s hotels have an occupancy rate of close to 90 per cent and this is expected to continue with about 60 million tourists set to visit this year.

On Tuesday, the trade body questioned why efforts to tighten the Hotel and Guesthouse Accommodation Ordinance, which began in 2014, had stalled.

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Enforcement of the ordinance is currently done through undercover operations.

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