Airbnb buys $81.5M NYC office after years of regulatory fights

Airbnb is buying its first New York City office, a $81.5 million purchase that signals a long-term bet on a city where it has spent years fighting local officials over short-term rental rules.

The San Francisco company paid cash for the six-story, 42,500-square-foot Beaux-Arts building at 281 Park Ave. South in Gramercy, the Wall Street Journal reported. The transaction closed Wednesday, an Airbnb spokesperson confirmed.

The building will serve as a hub for more than 600 employees in the region. CEO Brian Chesky said in a statement that the office "reflects our long-term commitment to the city."

Airbnb has maintained a "work anywhere" policy since 2022 that lets employees relocate within the U.S. without a pay change. The company said many New York-based staff prefer to work from the office regularly, which drove the need for a dedicated space.

The purchase comes as Airbnb continues to push for looser rules on short-term rentals. Local Law 18, which took effect in 2023, tightened enforcement by requiring hosts to register with the city and forcing booking platforms to verify those registrations before processing reservations. Supporters said the law preserved housing stock. Airbnb argued it deprived residents of supplemental income and failed to address affordability.

Airbnb contributed $10 million last year to its Affordable New York political action committee, which spent more than $1.3 million opposing mayoral candidates Zohran Mamdani, Brad Lander and Scott Stringer, all of whom have been critical of the company, the Journal reported.

The building was originally listed in 2022 at $135 million, according to Airbnb. The seller, developer Aby Rosen's RFR, bought the property in 2014. Airbnb's purchase price represents roughly a 63% gain over what RFR paid, the Journal said.

Built in 1894 and renovated in 2019, the building was previously tied to the Anna Sorokin case. Sorokin, who posed as a wealthy German heiress, allegedly used forged documents while trying to lease the building for a private members' club. She was convicted in 2019 of defrauding banks, hotels and other businesses.