San Francisco’s largest residential landlord has inked a deal with Airbnb to allow short-term rentals in exchange for a cut of revenue.
Veritas Investments will formally permit tenants to rent out apartments on a profit-sharing deal.
Veritas, which has more than 200 buildings in San Francisco, will pocket 10% of short-term rental profit, some of which it says it will plough back into upgrades and to manage the apartment short-term rental program.
Airbnb is also partnering with tech startup Pillow, which offers content on a building’s specs and shared amenities as well as short-term rental data for specific neighborhoods.
Pillow also gives landlords up to date data on which units are being rented out at any given time.
This will be available for residents keen to rent out their apartments in Veritas’ buildings.
"We reached out to and surveyed residents, and there’s a great deal of interest in this new aspect of the ‘sharing economy. Airbnb and Pillow can help our residents with economic empowerment and could further differentiate our properties," said Yat-Pang Au, Veritas CEO.
After several years of tetchy relationships with major residential landlords across the country, Airbnb has gradually got some on board with similar agreements offering a cut of the profit.
Under Airbnb’s Friendly Buildings Program, about 13,000 residential units in North America are on the Airbnb platform thanks to agreements made with landlords.
