Airbnb CEO says NYC regulatory issues won't be resolved any time soon
sborisov
Airbnb (NASDAQ:ABNB) doesn't expect to see a resolution in New York any time soon as the city has implemented strict regulations that have shriveled the number of units available.
New rules that went into effect earlier this month have curbed the listing in the city by 77%, according to Skift. ABNB could lose an estimated 1% of annual revenue as the city has argued that short-term rentals take away much-needed affordable housing stock.
"In New York City, one point, like 13 years ago, was like 70, 80% of our business," Chief Executive Officer Brian Chesky said on CNBC. "Now it's a very small percent of our business."
Shares are down 0.7% on Wednesday and up 66% year-to-date. Chesky announced on Wednesday better search and filters, verified listings, improved customer service and lower prices, as well as a drop in cleaning fees.
The executive noted no single city comprises more than 1.5% of the company's business and New York doesn't even make the top three, which include Paris, London and Los Angeles.
"The good news is there's 100,000 cities all over the world and most of them have chosen to not follow their lead but to go their own way," Chesky said.

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