The Strategist

Airbnb to pay $250M to homeowners

03/31/2020 - 07:45

The online reservation service Airbnb plans to allocate $ 250 million for payments to those homeowners who have lost their reservation due to the coronavirus pandemic, follows from a letter of the company’s head Brian Chesky.

Earlier this month, the company said that hosts receiving guests from regions affected by the virus, guests traveling to or from seriously affected regions, as well as any user, if his/her trip is subject to government restrictions, can cancel the reservation without penalty.

"We will pay $ 250 million to the owners to cover the cost of cancellations due to the COVID-19 pandemic... If the guest cancels the reservation due to circumstances related to the COVID-19 outbreak, from March 14 to May 31, we will pay you (the owners) 25% of the amount that you usually receive in accordance with the cancellation policy", - Cesky said in a statement.

According to the company’s head, payments will begin in April.

The company also plans to set up a $ 10 million super-home care fund to help some of homeowners pay rent or a mortgage. Employees of the company raised $ 1 million for the fund, and Cesky, together with co-founders Nathan Blecharczyk and Joe Gebbia, will add the remaining $ 9 million.