Skift Take

Dallas City Council imposes zoning limitations to prohibit short-term rental homes in single-family neighborhoods, while still allowing them in commercial areas and multi-family neighborhoods.

New This Morning: Following extensive discussions within the community spanning almost four years regarding short-term rental homes, the Dallas City Council implemented zoning limitations to prohibit their presence in single-family neighborhoods last week. However, as a middle ground, short-term rentals will still be permitted in commercial areas and multi-family neighborhoods. 

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These regulations governing the remaining rentals have been approved and are set to be enforced starting in December. The delay in enforcement is aimed at giving short-term rental operators the time to gradually phase out their operations while allowing the city code enforcement to adequately prepare for implementation.

Dallas is the latest among cities that are cracking down on short-term rental enforcement. Over the weekend, the city of Tempe said it will file charges seeking to suspend a short-term rental license against the owners of a short-term rental property where shots were fired at a May 21 party.

Meanwhile, short-term rental operators in the Fort Worth area are suing the city stating the new rules violate economic liberty and private property rights. The new rules passed in February this year require short-term rental operators to comply with zoning regulations and pay hotel occupancy taxes. 

AI Updates

London-based property management and hospitality company Guest Ready has made some AI-driven updates to its platform. First is the introduction of personalized, on-demand guest itineraries tailored with information such as property address, guest demographics, trip purpose and length of stay. Second is the feature that handles guest communications — suggesting and improving answers to guest messages and emails directly within the platform’s unified mailbox. This feature enables guest-facing teams to respond swiftly and professionally, providing accurate information and addressing guest inquiries effectively. 

In more AI news, Boston-based property operations platform Breezeway launched AI-powered 24/7 guest support. Breezeway Assist, as it is called, will use data from guest reservations, messaging, property guide, and operational tasks to respond to guests. Property managers and hosts can choose to use Assist as an after-hours service, handling all guest interactions. 

Chart of Day

The Chinese outbound traveler is an opportunity for short-term rental operators around the world. The new Skift research report on understanding the post-covid Chinese traveler highlights some interesting opportunities for the vacation rental sector. As evident in the chart below, about half of the respondents said that they prefer hotels over rentals while traveling domestically or internationally. And they prefer five-star hotels above all else. 

Around the World

As the cost of living continues to rise, property owners on the Australian Gold Coast are opting to leave the short-term accommodation market, including platforms like Airbnb, in favor of long-term renting, according to property managers in the region. The decline in demand for short-term accommodation is evident, with managers reporting a 33 percent decrease in bookings compared to the previous year. Instead, many property owners are choosing to list their properties in the long-term rental market.

The Australian Bureau of Statistics census data revealed that approximately one in ten properties on the Gold Coast are vacant, while roughly 10 percent of the city’s population either face homelessness or struggle to afford housing. 

Elsewhere on Skift

Habitas, a luxury travel lodging and experiences company, may add up to six properties in Saudi Arabia through a planned $400 million (1.5 billion riyals) fund with financial support from the kingdom’s investment community. The goal would be to create a “hotel circuit” for guests to hop among locations in “a journey of discovery through Saudi Arabia” — with guest transfers handled by the brand.

For context, The company got its start around 2017 by setting up camps at that festival in Nevada for free spirits and wanna-be free spirits.

Habitas to Create Saudi ‘Hotel Circuit’ With Planned $400 Million Fund

Skift Short-Term Rental Reporter Srividya Kalyanaraman writes the Skift Short-Term Rental ReportSend news tips to [email protected].

You’re reading a free version of the new Skift Short-Term Rental Report. To learn more and get full access, please visit our subscription page.

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