The Airbnb Wars in Paris: For Now, a Truce

I’ve covered the Airbnb issue here previously, both my perspective as an entrepreneur and what Paris had been becoming more strict about.  On December 1st a “truce” will officially be in force as legislation first passed this summer comes into effect.  While the hotels have cheered this legislation, they are not quite done with their lobbying, as they may push for even more restrictive policies in 2018.

What’s Changed

The city has mandated registration for every single property offered on Airbnb in Paris, which at last count, was north of 55,000 rooms (check out this mesmerizing real-time map with the funny gap in the 19th/20th where Père Lachaise is).  This registration, at the moment, is simply declarative, and requires no documentation/authorization from the city.  You go to the dedicated website, create an account and give them your name and contact information, and you’ll then receive a registration number, which needs to be displayed on your Airbnb listing (there’s a field for it).  This will make it easier for city officials focused on compliance to find illegal listings (and monitor the registered ones).

The legislation also clarified that no full-time (365-day availability) Airbnbs would be permitted without a formal change of classification of the property to “bed and breakfast” by the occupant (with all the paperwork and taxes that comes with it).  Given that over 40% of the listings on Airbnb in Paris are “full-time” this should lead to a significant decrease in Airbnb’s inventory in the city:

Attention! Assurez-vous que votre situation vous permet de louer un meublé de tourisme avant de déposer votre déclaration. A Paris, la location de courte durée n’est possible que s’il s’agit de votre résidence principale (louée moins de 120 jours/an) ou s’il s’agit d’un local commercial. En cas d’infraction, vous vous exposez à une amende de 50 000 €.

For those still working on their French, this reminds people that should they wish to rent short-term (on a site like Airbnb or Booking) that they can only do so for 120 calendar days per year and that you can be subject to a fine of 50,000 euros for failing to comply.  Implied is also that your lease allows subletting (some do not) and that you either have written or at least oral permission from the owner to rent on sites like Airbnb.

Airbnb has added internal compliance by preventing hosts in the 1st-4th arrondissements from renting for more than 120 days, but Ian Brossat, who is Mayor Hidalgo’s senior advisor on housing was unimpressed, tweeting that that meant the law could be broken in 16 other arrondissements.

But, Does This Really Change Anything?

Assuredly, the city does not have the resources to audit the current 55,000+ listings on Airbnb and other platforms, but they have gotten very serious about this (other European examples include Berlin, which saw a 40% drop in inventory after passing a law aimed specifically at Airbnb, and Barcelona, which fined Airbnb 600,000 € last year over unlicensed properties), with the biggest concession being that Airbnb collects the occupancy tax on informal housing in Paris, and rather than pass that cost to its hosts in its most-used city, it has eaten that cost itself, paying the City of Paris more than 7,000,000 € per year.

Mayor Anne Hidalgo has been very intentional about her vision for the city, not just in splashy things like courting the Olympics, but in everyday things like transport and design choices.  She doesn’t get her way all the time, but this is one of the issues in which she faces no real opposition: Parisians do not want their already difficult housing situation squeezed by too many short-term rentals, and this will certainly return many studios and studettes into the medium and long-term inventory of the city, and some of the larger properties into real options for families who want to live in the city.

There will be some who continue to risk having an unregistered listing or listing for more than 120 days, but with this official registration period (between October 1st and December 1st) and the push from Airbnb itself for hosts to comply, we are likely to see the vast majority of listings in Paris fall into line and the borderline/illegal ones go away.

What Can Still Happen?

The hotels have openly stated that they are targeting a 90-day allowance rather than the 120 days now given, but given the extensive vacation that Parisians take, 120 days cover periods in the summer and winter in which residents can be gone and the city willingly grants that there should be allowance given to offset rent and/or make income for residents and permission for visitors to live “as a local” should they choose.  So, while there might be a push for further legislation, at the moment the hotels, like most of Paris, are focused on the holidays, and we are all enjoying our longest respite without a major attack.  That will allow those visiting Paris and using Airbnb to enjoy their stays particularly now, because if and when they return, those rooms may be off the market, literally.

Airbnb, having seen the writing on the wall for some time, is happily diversifying into fields that hotels cannot, recently adding experiences and restaurants to their offerings to travelers.  Their vision is to allow people to experience real life in those cities, not just rooms in a building, and there’s no way to restrict travelers from doing precisely that.

Photo by Nil Castellví on Unsplash

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FFF

Losing at Home to the Portuguese

My heart sank.  In the fan zone at the Eiffel Tower, tucked away behind one of the smaller screens I was standing in front of, the small group of Portuguese near us lost their minds in celebration.  I hadn’t ever been here before in France, watching the National Team play in a Final but I’d watched plenty of football, and given how the game had gone, I knew this was probably it.

* * *

The police were dressed in riot gear and were prepared for all manner of shenanigans.  What they got instead was a quietly compliant group of Parisians, eager to get home to perhaps more easily hide their disappointment.  As I got off at Opéra to change to Line 3, I observed a girl in her mid-20s quietly crying, the tears muddling the tricolor she had proudly painted on her cheeks that afternoon.

* * *

I do love football, especially the spectacle of an international tournament, but travel kept me out of France during most of the group stage play, though it did allow me to watch with thousands of Viennese as their national team played Portugal, or with the Swiss who live in Liechtenstein as they played Romania.  I watched the two semifinals on my street here in the 2nd arrondissement and while I was the only one in the entire bar watching Wales and Portugal, I had to make reservations and arrive an hour before the match to hold on to those seats before the France-Germany game, which was a treat to watch.  Further down the street is an axis where three sports bars are nearby and many people danced in the street to celebrate the heroic efforts of the French team that night.  The whole city was buoyed by it.

This morning it’s another Monday in what has been a tough twelve months for the French, and yet I sense resolve so often attributed to the British and known in their “keep calm and carry on” mantra.  Disappointment is part of football, but it’s part of life too and those of us who know football know that Portugal was defeated at home in the Finals of Euro 2004 by the Greeks.  They know what happened last night because they were on the losing end of such a situation once.  And they came back to fight another day and won their first European Championship.

* * *

More than anything in these days of political pygmies, as we see Australia divided by a General Election, a narrow Brexit, and an America eager to shoot itself to death, we can enjoy a simple thing like a football tournament, that brings together people from 24 different countries, to cheer, laugh, learn, and cry.  Among much disappointment, in football and otherwise, there are always opportunities to learn and grow.  It remains for us to take them.

Photo by Matthieu Joannon on Unsplash

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The Airbnb Wars Continue in Paris

I wrote some time back rather passionately about forces conspiring to stifle Airbnb and Uber in Paris.  The City of Paris recently upped the ante by publishing a website that shows all the properties that are “properly registered” as an Airbnb in the city.  Unsurprisingly, the French, operating from a cultural sensitivity to “denouncements” of neighbors during WWII, reacted strongly to this and labeled it a “rat on your neighbors” policy.  If anything, it will cause a backlash among even those neutral to slightly negative on Airbnb.

To catch up those who aren’t familiar with the intricacies of Parisian housing policy, anyone is allowed to rent space within their own personal home, for example a spare room or a couch in a living room, provided that they either own the space or have permission from the landlord.  In one recent landmark case, an owner sued a tenant and won for letting out an apartment without permission.  The law additionally allows you to rent a space you don’t occupy for up to 120 days a year, which would cover a long absence from Paris (or several) for whatever reason.

The argument goes that these short-term rentals are changing the makeup of the city and of particular neighborhoods, and to an extent, this is true.  And yet, all these short-term rentals represent opportunities for pure revenue for Paris everyone coming to the city is going to spend money and hotels and hostels alone don’t meet demand.  Indeed, Airbnb has moved the goalposts on what a travel stay consists of now no longer prisoner to the social desert of a hotel or the social overload of a hostel, people can choose a third way, in which they sometimes have an unofficial guide to the city, whether that be as simple as answering a few questions before arrival or as far as leading them on a cool walk about town.  Airbnb is now saying, “don’t just visit there, live there, if only for one night.”

Paris is unlikely to get Berlinian about Airbnb, but given that there are fewer than 200 properties on the “official” register out of over 40,000 listings makes it clear that there is still a gap in reality and expectation between a city being brutally lobbied by the hotel industry (and a république that is insistent on taxing everything it can touch, and even what it can’t) and a Parisian populace only too glad to get some help paying the bills by renting out some personal space.  In a way, it’s time for the residents of Paris to benefit from Paris’ reputation as well given that they have to put up with (without compensation) a neverending flow of tourists throughout the year.

For now, it seems clear that anyone who is renting out wholly unoccupied spaces on a short-term basis 100% of the year better watch out.  I suggest divesting yourself or pivoting into long-term rentals.  Otherwise, be warned that the city is coming for you, and it will cost you tens of thousands of euros if you get caught.

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french uber riot

Paris: Frontline of Airbnb and Uber’s Wars

As a resident of France I appreciate that the French hold on to their traditions and ways of life and are generally skeptical of change.  Unmoderated and unguarded acceptance of change isn’t always the best thing.  Nowhere is this more a topic of conversation these days than with Airbnb and Uber.

These two American juggernauts have seized upon a simple idea and commercialized it: there is spare space in your home or car if someone wants to rent that space for some period of time, and you are willing to allow them to rent it you can complete an exchange of commerce.  Furthermore, in many cases, the necessary taxes are paid by the company, the provider, the end-user, or all three.  So what’s the problem?

In France?  “Les acquis.”  This term refers to the amorphous set of benefits and “rights” that the French feel broadly entitled to, and are willing to march in the streets to protect.  Not only (in their mind) are these rights guaranteed forever, but in all likelihood, these rights will only get better and sweeter with time.  I’m not going to talk about this concept for the moment.  I only want to use it as a reference point to help you understand why the hotels and taxi companies are absolutely livid about these two unicorns.

In a universe of acquis you have jobs and economic systems for life.  No pesky disruptions.  Year after year your universe is set and perfect.  Taxi-driving schools collect millions of euros in tuition and hotels collect hundreds of millions of euros in bookings. Never mind that both taxi companies and hotels employ tens of thousands of foreign workers and hence this can’t be argued to be about “French jobs.”

Indeed, it is a question of secrets.  In his book Zero to One Peter Thiel talks about the discovery of secrets as key to billion-dollar businesses.  The discovery of sharing unused space was a secret.  Overnight it created, in essence, the largest room-provider and largest transportation companies in the world.  Not by a massive capital spend, but by really intuitive software that could connect the provider and the end-user.  This massively democratizes micro-entrepreneurship by lowering barriers to entry.  You would think this would be welcome in a country that carves “liberté, égalité, fraternité” into the stonework of its buildings.

And yet, the French, used to the idea that anything you do with your time for money has to come with an enormous raft of benefits, including two years of unemployment pay, burn and flip cars and raid apartments in protest.  Who are they hurting?  Uber and Airbnb have more money, time, focus, and brains to devote to winning this matter legally or they will simply pick up and leave.  In the meantime, people who own cars or apartments in Paris who are simply making some money to defray their costs of ownership, as well as everyday commuters and travelers looking to save money, are the ones actually penalized.

Despite the fact that “entrepreneur” is a French word, fundamental disconnects like this happen.  Entrepreneurs don’t get acquis.  We build our own acquis over time, with hard work, perseverance, and a tremendous amount of sacrifice.  No one forces us to do it.  We provide willing services to those willing to pay us we’re even happy to pay taxes…to a point.

It is the convergence of these two attitudes the inbuilt idea of acquis and a population that prefers guaranteed jobs for life to entrepreneurship (because they are fundamentally risk-averse) that leads to such a strong pushback against these services in this country.

And yet, it seems to be politically motivated.  Many of the people my age (and younger) actively use Airbnb and Uber here in Paris.  We know what hotels are and we know what taxis are.  We have used them, many times.  We also know that Airbnbs and Ubers are neither hotels nor taxis, and come with their own risks (as if hotels and taxis are risk-free!).  But we understand that it’s important for people to have lots of choices.  Transportation-wise, that’s what makes getting around easier: buses, metros, taxis, Ubers, bikes, scooters, and yes, walking.  Indeed, UberPool is even an innovation among taxis using intelligent software and GPS to save everyone time and money.

And yet, despite a multi-million euro settlement with Airbnb last year, the City of Paris is being pressed by the hotel lobby for more raids.  And the ride-sharing industry is under pressure after a recent taxi strike.

In English we say, “the cat is out of the bag” to say what has happened has happened, and that you can’t go back.  Parisians have discovered that they can make money renting out their homes and cars.  Hotels and taxi companies have discovered that their guaranteed monopolies are over.  The City of Paris is caught in between them.  But the secret is out, and the hotels and taxis are in for a very rude awakening should any real move be made to ban Airbnb and Uber in Paris.

Photo used via Creative Commons from R Street.

This article was also published on Medium and LinkedIn.

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Charlie Hebdo

Je ne suis pas Charlie: Why I’m Not Marching in Paris Tomorrow

This shrine, among others, was set up around Place de République this evening. I had used the spot as a convenient place to meet two friends before dinner at my favorite Cambodian place in Paris. I had completely forgotten République’s status as a shrine for the Left (there is a huge monument to “Liberty” in the middle of the square) and since I had not been avidly following the Charlie Hebdo news, I didn’t realize how decked out it would be: candles, pictures, drawings, graffiti. People had plastered bulletins of Voltaire mouthing the now eponymous, “Je suis Charlie” all around the monument. The devotion reminded me of a much smaller “shrine” in the largest cemetery in Paris, in Père Lachaise, at the grave of Oscar Wilde. When I first gazed at all the lipstick marks at his grave, I felt the same feeling I felt just a few hours ago witnessing all the people milling around the monument, around all the reporters doing stand-up interviews with whomever was around (hopefully you would be holding a child, showing that you were “teaching” your kids how to “stand up” to violence): bemusement.

While I will be the first to admit that I’m not the most empathetic of souls, I did feel the normal disgust at the senseless loss of human life. Any civilized person would. But then there’s what comes after. Would I stand up for or march in “solidarity” with “free speech,” for a disgusting magazine, and for a national security policy that is essentially tone-deaf to the unique and challenging situation that is militant Islam (hopefully France doesn’t call it “workplace violence“)? Quite definitely, non. If I’m going to march it’s not going to be to soak myself in some gooey sentiment of “solidarity,” but because I truly and deeply believe in something. Because I would be willing to be tear-gassed and arrested for it. Was I going to march for people who taunted Muslims with outrageous cartoons? No way. But before we even get to that, I suppose we should address what this is being universally painted as: an attack on capital F, capital S: Free Speech.

The media and governments and many of the “Je suis Charlie” drones (some of whom I count as friends!) push the idea that this was an attack on free speech. I dispute that, but I suppose I should admit at the outset that I don’t accept the notion of free speech, either intellectually or practically. It’s gospel to many people, as certain a value as 2+2 equaling 4 or the sun rising in the east, but to me it’s an abhorrent and dishonest modern fantasy: something that protects the prose of a child molester extolling the virtues of pedophilia in the same manner as that of a nun speaking about outreach to the poor and abused. In a nation (and city) in which egalité is literally carved into stone, the concept of many ideas having “equal value” resonates but perhaps because it is taken for granted it is never truly scrutinized. “Free Speech” is a lie the West tells itself, and then is shocked when others don’t accept it as gospel truth.

So there’s my first stumbling block to the #jesuischarlie movement: I don’t accept the so-called “Western value” of “free speech.” I think that there are ideas that are dangerous and words that are beyond the most foul and disgusting and rather than buy into a system where I accept that all ideas are equal (something I can barely type!) I accept that some things are beautiful and should be protected and some things are vile and disgusting and should be discarded. The cartoons of Charlie Hebdo fall into the latter category.

That’s the second problem while I find their cartoons disgusting (I cannot even bring myself to describe the Christian “satire” that this rag of a publication has served up) I do not believe that their pictures should have carried a death sentence. But I do think the editorial staff knew what they were doing and in the French tradition of “brave journalism” were “daring” to do things that upset people, and they knew what might happen. A true “Western value” (read: values derived from Christianity) is respect for life and we try, prosecute, and in some places in the world, execute murderers. We don’t tolerate the wanton murder of people. Yet, saying Je suis Charlie precisely means you are standing up for the disgusting values this magazine propagated (calling the magazine the French version of the American Onion is not just American oversimplification at its worst, it’s simply inaccurate). Saying “Je suis Charlie” extends beyond the borders of empathy for the murdered to solidarity for their work, which was, at its very best, highly questionable, and at its worst despicable and wantonly provocative.

Finally, “Je suis Charlie” insouciantly marches with banners of “we are not afraid” while failing to examine the real problem: militant Islam. NPR Americans whose “Muslim friends” eat bacon will tell you that Islam is a religion of peace, but those who have read history, have actually read the Koran, and know the violent arc that is the founding and ongoing mission that is Islam know otherwise. When someone in New York whose name isn’t even remembered does an art exhibit depicting a crucifix in a jar of urine, does anyone fear reprisals from Christian terror groups? No. Because there aren’t any roaming around or training in special terrorist training camps! There isn’t anything in the Christian New Testament that instructs Christians to convert people by any means necessary, up to and including the threat of murder. This week France, when confronted with an Islamic terrorist attack, reacted the same way that England and Spain did when they experienced their own attacks in their own cities: explained how this had nothing to do with Islam, took no responsibility for military policy in the Middle East that stirred up such hatred and violence, and then pivoted to say this is a “terrorist” issue, without taking the time to point out this is a uniquely ISLAMIC issue.

Something that the West does well, for better or for worse, is tolerance. We may not agree with you and may even disagree with you on fundamental human matters, but we will live in peace with you as long as you observe our laws. The people who committed these murders trained in places where it is a crime to possess a crucifix! Western governments have the opportunity to take a long hard look at this and ask if this is a problem of “religious fundamentalism” (something bland and generic that implies there could be such things as Buddhist terrorists or Hindu terrorists that are operating on even a fraction of the scale of Islamic terrorists) or of “Islam and the West.” Those who’ve read history know that the Muslims tried and failed dozens of times over centuries to militarily invade Western Europe, conquer it, and put it under the Crescent. It failed, perhaps most famously, on a 9/11 few know about, the night in 1683 when Jan Sobieski, King of Poland, arrived at the gates of Vienna to successfully repel the Muslim invasion.

The Muslims are no longer at the gates of Vienna. They don’t need to invade Europe because they are already here and they will simply not permit “free speech” that mocks their religious beliefs. You can say what you want about these men, but they truly believe in what their religion professes in its scriptures. As for the West, it has to decide whether it will keep pretending to be shocked when these things occur or actually start to formulate public policies that take into account the realities of Islam instead of the lies we tell ourselves about that religion. The march tomorrow blithely ignores that reality, preferring instead sentiment and tears. There is a time for such things. Then there is the time to fix public policy so that such things don’t happen again. Je suis Charlie sure is catchy, but it doesn’t even begin to address any of the problems this horrific event has laid bare.

Photo is taken from WikiCommons

Did you enjoy this article? TAIP is 100% reader-supported through tipping. If you want to leave us a tip of any amount it would be highly appreciated. These tips help support our efforts to keep TAIP an ad-free environment. Just as at a cafe, the tips are split evenly among the team.