Airbnb bookings have declined over the past year in cities like Austin and San Francisco that have historically been popular destinations for short-term rentals, prompting concern over the economic uncertainty wracking urban areas and the prospect of a “doom loop” developing.
Nick Gerli, the CEO of Austin-based Reventure Consulting, recently tweeted that the “Airbnb collapse is real” and that, “Revenues are down nearly 50 percent in cities like Phoenix and Austin.”
He went on to say, “Watch out for a wave of forced selling from Airbnb owners later this year in the areas hardest hit by the revenue collapse.”
Gerli cited AllTheRooms data which showed a 48.6% year-over-year decline in the average revenue per available listing in the three-month period ending in May for the Austin metropolitan area.
He attributed the decline to the end of pandemic-era migration, tweeting: “The pandemic is over. Fewer people are working from home / vacationing in states like Montana, Texas, and Tennessee. So the demand is way down. Just as the Airbnb supply went way up. So you get a crash.”
An Airbnb spokesperson told FOX Business, “The data is not consistent with our own data. As we said during our Q1 earnings, more guests are traveling on Airbnb than ever before, with Nights and Experiences Booked growing 19% in Q1 2023 compared to a year ago.”
Jamie Lane, the chief economist and SVP of analytics at AirDNA, also pushed back on the notion of a major decline in short-term rentals.
Lane tweeted an analysis using AirDNA data of the same metro areas covered in Gerlis analysis which found an average decline of 3.6% rather than 40%.
The AirDNA data showed the Austin metro area experienced a 7.2% year-over-year decline in revenue per available listing for the same three-month period ending May 2023.
The San Francisco Standard reported that data from AirDNA found that nights stayed in vacation rentals in San Francisco were down 29% in May 2023 compared to May 2019.
The outlet also spoke to several Bay Area homeowners who rent out rooms through Airbnb, including host Keith Freedman, who estimated that prices for San Francisco Airbnbs are down about 40% from last year and occupancy has declined 20% to 25%.
Separately, Gerli tweeted data showing that median rents in the Austin metro area declined 6% year-over-year while the San Francisco metro area experienced a 4% decline, which he said could also contribute to owners being forced to sell in the second half of this year.
Some of the decline in rents could be attributed to slowing population growth in those metro areas.
While the Austin area has seen rapid growth over the past decade, particularly in the suburbs outside the city limits, the Census Bureau estimates that Austins population grew 1.3% from April 2020 to July 2022.
Unlike Austin, San Francisco’s population growth has been on a downward trend in recent years.
The Census Bureau estimates that San Francisco Countys population declined by 7.5% from April 1, 2020, to July 1, 2022.
Slowing population growth or overall declines in a citys population raises the prospect of an “urban doom loop” developing.
An urban doom loop involves a decline in workers in offices in city centers, which results in businesses shrinking their office footprint and their rental overhead.
The decline in demand causes real estate prices to fall, which in turn reduces property tax revenue while other sources of tax revenue, like sales tax, also take a hit due to the reduced traffic in downtown areas.
As the overall tax base declines, it becomes harder for city governments to fund services like law enforcement, which can lead to a rise in crime that makes downtown areas less desirable, worsening the “doom loop.”
Sean “Diddy” Combs is facing a “fake trial” in which his unusual sexual preferences have been unfairly criminalised and his “private sex life” turned into a “crime scene”, his defence team has argued in the final day of closing arguments.
At the end of week seven in the sex-trafficking trial, Combs’s lead counsel, Marc Agnifilo, told the court Combs was the victim of an overzealous prosecution, who had portrayed his “swinger” lifestyle as a racketeering conspiracy.
Image: Combs listens as his lawyer Marc Agnifilo makes his closing arguments. Pic: Reuters
Combs is charged with one count of racketeering conspiracy, two charges of sex trafficking, and two charges of transportation to engage in prostitution.
He has pleaded not guilty to all charges and has strenuously denied all allegations of sexual abuse. If found guilty, he could face being put behind bars for life.
Frequently adopting a sarcastic tone, Agnifilo mocked the government’s case against Combs, belittling the agents who seized hundreds of bottles of Astroglide lubricant and baby oil at his properties last year.
Commenting that America’s streets were now “safe from Astroglide”, he went on, “Way to go, fellas”, before adding, “you do you”.
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He said prosecutors had “badly exaggerated” the evidence against Combs, presenting “threesomes as racketeering”, arguing that he is not guilty of racketeering conspiracy and sex trafficking.
The defence also highlighted the prosecution’s decision to indict Combs on a racketeering conspiracy charge alone, flagging that no alleged co-conspirators have been indicted alongside him.
The defence’s closing arguments lasted for just over four hours, with members of Combs’s family, including six of his children and his mother, watching on in the public gallery.
Image: A court sketch of Sean ‘Diddy’ Combs. Pic: Reuters
Agnifilo said Combs has “taken care of people”, including Jane, a former girlfriend who testified under a pseudonym, paying for her rent and for her legal representation.
The defence lawyer said: “I don’t know what Jane is doing today, but she’s doing it in a house he’s paying for.”
He went on: “This isn’t about crime. It’s about money. This is about money.”
Presenting the trial as a zero-sum game, he described his former girlfriend of almost 11 years Cassie Ventura as the “winner in this whole thing”, noting that she settled her civil case with Combs for $20m (£14m) in November 2023, as well as a $10m (£7.3m) from the InterContinental Hotel.
Cassie and Jane both gave evidence during the trial that they were coerced repeatedly by Combs to perform in drug-fuelled, days-long sex marathons with male sex workers, while Combs watched, directed, masturbated and sometimes filmed the encounters.
But the defence accused prosecutors of having invaded Combs’s bedroom and his most intimate personal affairs.
Agnifilo asked: “Where’s the crime scene? It’s [Combs’s] sex life.”
Continuing his line of sarcastic quips, he joked, “We need a bigger roll of crime scene tape”, referencing a line from the classic movie Jaws.
Agnifilio’s sarcasm irked the prosecution, who later complained to the judge that he was using “improper arguments”.
Image: Diddy and Cassie in 2016. Pic: zz/JMA/STAR MAX/IPx/AP
The defence characterised Combs’s relationship with Cassie as “a great modern love story”, going on to describe her as a “gangster” for cheating on him with rapper Kid Cudi.
They also characterised the “freak offs” as “beautiful”, saying the videos showed “everyone smiling”, eating and listening to music, and commenting that Combs was “not the only man in America making homemade porn”.
The defence admitted Combs was a domestic abuser, but said such behaviour did not justify the grave charges he faces.
Agnifilo advised the jury to “Call this as you see it,” asking them to “acquit Sean Combs of all the counts” and “return him to his family”, who he said has been waiting for him.
Combs, who has been in a New York jail since his arrest in September last year, did not give evidence during the trial.
Following the defence’s closing argument, assistant US attorney Maurene Comey delivered a rebuttal summation in which she said the defence’s argument that Cassie, Jane and Mia, a former employee who also testified under a pseudonym, all “wanted sex” was a lie, telling the court none of the women had reason to speak anything other than the truth.
She also said the “freak off” videos tell only “part of the story”.
Comey said Combs had spent the last 20 years believing himself to be “above the law”, seeing himself as “untouchable” and “a god among men”.
She said his impunity would end now in this courtroom, before urging the jury to “find him guilty” and “hold him accountable”.
On Monday, the judge will read the law to the jury, after which deliberations will begin.
To convict Combs, the 12 jurors must vote unanimously.
ESPN baseball reporter. Covered the L.A. Rams for ESPN from 2016 to 2018 and the L.A. Angels for MLB.com from 2012 to 2016.
Los Angeles Angels manager Ron Washington will remain on medical leave for the rest of the season, the team announced Friday.
Bench coach Ray Montgomery will manage the team for what remains of 2025. Ryan Goins will serve as his bench coach going forward.
Washington, the oldest manager in the major leagues at 73, was placed on leave last Friday because of an undisclosed medical issue. He experienced shortness of breath and appeared fatigued toward the end of a four-game series at the New York Yankees that ended on June 19. Washington flew back to Southern California, underwent a series of tests and was placed on medical leave.
A longtime third-base coach and well-regarded infield instructor, Washington served as the Texas Rangers‘ manager from 2007 to 2014.
He was in his second year managing the Angels.
The Angels were 40-40 entering Friday night’s game against the visiting Washington Nationals, winning three straight under Montgomery and seven of 10 overall. Los Angeles has played better than most expected from a team with major league-worst streaks of nine straight losing seasons and 10 straight non-playoff seasons.
The 55-year-old Montgomery is getting his first job as a major league manager. The native of New York’s Westchester County is a former Houston Astros outfielder who served as the scouting director for Arizona and Milwaukee before joining the Angels as their director of player personnel for the 2020 season.
Montgomery became Los Angeles’ bench coach in 2021 after general manager Perry Minasian took over the front office, and he stayed with the Angels while Joe Maddon, Phil Nevin and Washington managed the club.
Goins played eight seasons in the major leagues before Washington hired him as the Angels’ infield coach before the 2024 season.
Information from The Associated Press was used in this report.
Martinez (5-8) walked his third batter, Jackson Merrill, on a low full-count sinker, then retired 22 consecutive hitters before walking rookie Trenton Brooks starting the ninth. Diaz then drove an 0-1 changeup off the base of the wall in left-center on Martinez’s 112th and final pitch, which tied his career high.
A 34-year-old right-hander, Martinez struck out six as the Reds won for the fourth time in five games. He also threw 112 pitches for Texas against Boston on May 28, 2015.
Coming off a pair of relief appearances, Martinez made his first start since June 19. He entered with one complete game over 118 big league starts, an eight-inning effort in a loss at the Chicago Cubs last Sept. 27.
After Martinez allowed seven runs over 2⅔ innings against Minnesota, Reds manager Terry Francona suggested he make a relief appearance. Martinez threw two perfect innings at St. Louis two days later, and Martinez offered to making another bullpen outing to keep starter Brady Singer on turn. Martinez pitched a 1-2-3 innings against the Yankees on Monday.
Steer hit solo homers in the second and fourth innings off Dylan Cease (3-7), then a two-run drive against Yuki Matsui in a four-run fifth. Steer has nine home runs this season.