Airbnb-condo deal requires further study

A deal between Airbnb and Neptune Waterpark Condominiums — believed to be a first in Canada — should be carefully studied to understand the legalities, says Toronto condominium lawyer Armand Conant. “We will absolutely see more of these agreements. But once you start saying your building is available for short-term rentals, that raises many issues,” Conant tells AdvocateDaily.com. “Since condo corporations are not-for-profit corporations, raising income from this type of arrangement could possibly be a problem," he says. Critics say in a Toronto Star article that the agreement essentially makes the Neptune development a hotel. Conant, a partner with Shibley Righton LLP and head of its condominium law department, tends to agree. “Once the board of directors of the condo corporation says, ‘Hey, this is a way to make bucks for the condo corporation,’ it has the potential of making these buildings similar to hotels.” Although not common, he says there are some condo corporations whose declarations state that residential units can be rented for short-term or even daily use. This is an excerpt from an article that appeared on AdvocateDaily.com. Please click here to read the rest of the story.