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Sharing is Daring: Beware the AirBnB Bandwagon

It is becoming increasingly common to use websites such as AirBnB to advertise your home to let out as an alternative to renting a hotel. However, the London Mayor has indicated that he is willing to take action against AirBnB. A recent case has also highlighted the risk of jumping on the bandwagon to make a quick buck. 

The Facts

There might be the benefit of increased rents but in a recent case a lessee with a standard 99 year lease came under fire for granting a series of short term lettings. The individual lettings were for a matter of days or weeks through AirBnB. Several of her neighbours took issue with her use of the flat in this way and complained to the landlord who then issued an application for the determination of breach of the private residence covenant. The lease did not contain a prohibition on subletting and so the lessee argued that as long as the flat retained its characteristics as a private residence then there was no difference between the granting of a short term let and an assured shorthold tenancy agreement.

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