GEORGE TOWN – Penang is looking to impose a ban on short-term rentals of private condominiums and high-rise apartments in a bid to bolster the state’s hotel industry battered by the Covid-19 pandemic, a state executive councillor said today.
Local government and housing exco Jagdeep Singh Deo said the local authorities are in the midst of finalising new guidelines on the matter, which will specifically prohibit short-term rentals at private high-rise residences.
“We do not want a situation where it will disturb the well-being of other residents. People do not want their house to become a hotel. That’s the simple reasoning behind the guideline,” he said after handing out aid to Penang Island City Council staff in conjunction with the coming Hari Raya Aidilfitri celebration.
Jagdeep said the local authorities will present their proposed guidelines to the state exco for approval, adding that it will not affect medium-term rentals that stretch over several months.
The move will also extend to short-term leasing for landed properties, though he did not give a timeline for when they expect the proposed guidelines to come into force.
Jagdeep said the ban will help recovery of hotels that bore the brunt of the sharp fall in tourist arrivals over the past two years when the nation grappled with trying to contain the spread of the pandemic.
The Malaysian Association of Hotels (MAH) welcomed the move, saying that such homestays have been a threat to businesses such as hotels and motels that have secured proper licensing from the local government.
Eugene Alan Dass, who heads MAH’s Kedah/Perlis chapter, said unlicensed homestays have been a bane as they undercut legitimate hotel operations.
Penang MAH chairman Tony Goh said the hotel industry needs all the support it can get to recover from the pandemic lockdowns and hopes the rest of the country will emulate Penang’s move to curtail illegal homestays. – The Vibes, April 28, 2022
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