GEORGE TOWN – Tourism will not be affected following the move by local authorities in Penang to ban with immediate effect all forms of short-term rental accommodation, such as Airbnb, booking.com and homestays in residential properties, said Chief Minister Chow Kon Yeow.
He said that there are more than enough registered accommodation units to meet the demand from foreign and local tourists.
He was responding to the move by the Penang Island City Council (MBPP) to ban short-term rental services by assigning the respective joint management bodies of each high-rise commercial and residential building to decide the fate of Airbnb participants.
Presently, there are over 14,000 registered hotel rooms here, offered by 52 members of the Penang chapter of the Malaysian Hotels Association.
On top of that, there are more than 10,000 rooms offered by the Malaysian Budget Hotels Association.
Asked why there was a policy difference between councils on the island and on the mainland (Seberang Prai) over short-term rental arrangements, Chow said that the question needs to be directed to the respective city councils.
Accommodation is meant for commercial and licensed properties, not residential, as it can disrupt the lives of neighbours, said Chow after launching the Penang International Food Festival, here.
He does not see the move as controversial since there is an adequate number of registered rooms here.
While the rental of all private residential properties has been banned, the rental of commercial properties will now be strictly regulated.
Penang Island Mayor Datuk Anthony Rajendran said that those planning to offer short-term rental in commercial properties must obtain approval from their respective joint management bodies (JMBs) or management corporations (MCs).
This applies to six types of commercial properties: serviced apartments, small office home offices, small office flexible offices, small office virtual offices, office suites, and duplex offices.
Furthermore, the property owners must obtain at least 75% approval from other residents of the building.
Those looking to rent out their commercial properties on a short-term basis will also have to pay an annual fee ranging from RM250 to RM500 a year per unit.
Owners must pay a RM250 registration fee for new units being put up for short-term rent. Rajendran said the amount will be collected by their respective JMBs and MCs.
The host must also obtain special permits from MBPP and the Registrar of Companies to show to their respective JMBs.
Each unit is only allowed to be rented out for a maximum of three days a week, or 180 days a year.
The ban does not apply to mainland Penang, but Seberang Prai City Council is also expected to regulate short-term rentals soon.
Meanwhile, Airbnb has expressed concerns over the ban, as it would allegedly hurt many livelihoods. – The Vibes, May 30, 2023
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