Airbnb regulation sought in BoKaap over short term rentals

Long‑standing residents of Bo‑Kaap, a historic neighbourhood in Cape Town, are being pushed out by short‑term rentals, according to the Bo‑Kaap Civic and Ratepayers Association. The association is calling for regulation of platforms such as Airbnb, citing the displacement of families who have lived in the area for generations. Bo‑Kaap, which borders the Cape Town CBD, is considered the ancestral home of Islam in South Africa and is fundamentally a residential area. However, the conversion of family homes into tourist accommodation is eroding community cohesion.

Rising property prices and the growth of short‑term rentals are pricing out long‑term residents, including the elderly. Sheikh Dawood Terblanche, chair of the association, noted that homes being turned into short‑term rental units have devastated the community and warped the property market. The local community cannot compete with the returns generated by the tourist industry, and long‑standing residents feel estranged from their own neighbourhood. New residents and visitors sometimes clash with deep‑rooted cultural practices, such as the Islamic call to prayer and traditional celebrations.

The demand for affordable housing in Bo‑Kaap is high, with some residents waiting over 30 years for a home. Retired business strategist Masturah Adams, who runs a weekly soup kitchen in the area, said there are no affordable housing units readily available. The association is urging stricter enforcement of zoning bylaws to prevent residential properties from being used for short‑term rentals. It wants short‑term rental properties to be registered and licensed, with quotas to limit the number of units allowed to operate, and requires owners to reside in the property for most of the year.

The City of Cape Town plans to start registering short‑term rentals and applying commercial property rates to residential properties used for accommodation businesses. City spokesperson Luthando Tyhlibongo said the municipal rates policy does not permit properties paying residential rates to be used primarily for commercial purposes. The city is building a mechanism to register units for short‑term letting and ensure commercial rates are applied to properties operating an accommodation business. Under‑utilised land in the area is being considered for affordable housing, and the city encourages the public to report land‑use violations, which could result in penalties for property owners.