Airbnb has hired a management consultant to assess its potential entrance into the long-term rental marketplace, as written by Hannah Blackiston from PRM
Consulting firm McKinsey & Co have been chosen to research the possiblity on behalf of sharing economy giant Airbnb, Bloomberg reported. Currently Airbnb advertising platform already has a 'sublets' tab with these renting longer term in Sydney and Melbourne.
John Cunningham the president of REINSW said companies like Airbnb have failed in the past. "The reality is that this space already does exist. There's always been the threat of a disrupter to come along. There's always been the opportunity to do things quicker and easier. The big question mark is, do they do it better?"
"Whenever anyone's tried to manage properties from a central hub it had failed dismally. The reality is you need to be on the ground in the location and do what needs to be done"
"Australia has fairly strict controls. It's a legal document when people are signing a lease and Airbnb likes to stay well and clear of that area. Once a residential agreement goes beyond the three-month mark, they're getting involved in a completely different regulartory environment", Mr Cunningham said.