Agent to trial scheme allowing tenants to sub-let their properties

JLL has partnered with property software provider Lavanda to help tenants avoid “illegitimate Airbnb-ing” and to help landlords fill their property during void periods.

The new platform will allow tenants to sub-let their property when it is not in use, in the same way Airbnb works, but ensuring landlords give permission and even letting them share in the profits.

All short-term rental activity is covered by the Lavanda Home Guarantee, which makes up any shortfall in the existing buildings and contents insurance policies.

In return for allowing tenants to rent out the property, landlords will receive a percentage of the rental income.

Landlords can also use the service to arrange short-term lets for void periods.

The software will be trialled on private rental sector build-to-rent schemes run by JLL and Aberdeen Investment Management in London and Leicester, totalling 470 properties.

It will be rolled out further if successful.

Sam Winnard, director of build-to-rent at JLL, said: “We recognise that accelerating global demand for short-term rentals and homestays is now fundamentally shaping the long-term rental product.

“Lavanda Residential enables us to embrace this trend with 100% confidence. Together with Aberdeen Standard Investments we are excited to pioneer an industry-defining value proposition for landlords and residents.”

Guy Westlake, founder of Lavanda, said: “Short-term rentals are shaping the future of residential property, but to date they have been happening under the radar, causing unnecessary risks for both residents and landlord.

“Lavanda puts compliant short-term rentals and home sharing at the heart of the PRS communities now springing up across Europe.

“We are delighted to have JLL and Aberdeen Standard Investments on board and we look forward to rolling out our platform more broadly across the UK and European market.”

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2 Comments

  1. Northampton Landlord

    Clearly leases are not being checked.

    Some leases specifically ban short term lets.

    Not to mention the long term residents, who did not sign up to live in a hotel.

    We have also found really bad behaviour, goes unpunished.

    The perpetrators having left.  The other leaseholders then paying to clear up the mess.

    Other owners also have to pay for the repairs to the common areas.

    We had some rugby fans using the mail box block used as a battering ram to damage the common areas.

    Not quite the “Rosy picture” that the short term lettings people paint.

     

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  2. KByfield04

    A major cause for concern is it is virtually impossible to secure PI insurance if you are not the property owner- as such, should any claims arise, these cannot be passed to the property owner and cannot be insured against by the tenant/landlord so they could face a large bill with nothing to protect them. Whilst such claims are, generally, few and far between one claim could destroy a person/business instantly.

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