Hobart City Council may consider looking into cap on short-stay accommodation

A cap on the number of short-stay accommodation providers in the Hobart municipality could be looked into, as the city’s housing shortage returns to pre-COVID-19 levels.

A REPORT on how to cap the number of short-stay accommodation properties in Hobart may be sought by the Hobart City Council following revelations the housing shortage has returned to pre-COVID-19 levels.

On Monday, the council’s planning committee will consider a notice of motion from Lord Mayor Anna Reynolds and Councillor Jax Ewin asking for a report on reforms needed to allow council to cap the number of private properties being converted to short-stay accommodation across the Hobart municipality.

It was revealed last week, Hobart’s vacancy rate rose to 1.4 per cent in August, but has since returned to 0.6 per cent, as it was in February.

University of Sydney housing researcher Professor Peter Phibbs said at 12 per cent, Hobart had a greater density of Airbnb listings as a proportion of the overall rental market than any other city in Australia and one of the highest densities globally.

An online poll by the Sunday Tasmanian this week found 65 per cent of respondents thought there were too many Airbnbs in Hobart.

Airbnb has maintained the argument that its Hobart hosts are not to blame for the city’s housing woes and that increased regulation would not “materially improve housing supply.”

Councillor Jax Ewin said the tight rental market was pushing people on lower incomes out of the Hobart LGA.

Cr Ewin said it was time to follow the advice of experts and aim for a rate of 5 per cent of short-stay listings in the city.

They said the situation had been exacerbated by a boost in social support payments, with people who were previously priced out of the private rental market now able to enter it.

Cr Ewin said the tight rental market was pushing people on lower incomes such as students, migrants, LGBTIQ+ folk and people with disabilities out of the area, with a flow on effect also being a “loss of the culture and vibrancy that having a social mix of residents brings.”

“Most of these people are on a lower income and the Hobart LGA has gentrified to the point where most of us can’t afford to live here unless we’re in overcrowded share houses or inappropriate housing, so it’s just such a shame that only a certain type of person would be able to live in the city,” Cr Ewin said.

The motion said the council had a duty of care to explore all ways of creating more equitable housing.

“In order to rebuild our local economy and maintain a safe and inclusive community, we need to design policies that enable diverse people to not only work and play, but live in our city and surrounds,” the motion read.

“This is responsible planning for the future of our city in a post-COVID world.”

Cr Reynolds said any potential cap would require a change to a planning directive, which would need to be approved by the Tasmanian Planning Commission.

The State Government’s latest short-stay accommodation report, released on Friday, uncovered reporting discrepancies with 787 addresses not matching properties in Tasmania.

It also found 61.5 per cent of listed properties in Greater Hobart were people sharing their own home.