Rainey Austin: Airbnb-Backed Developer Is Building Condos Made For Home Sharing

By Jul 17,2019 Uncategorized

Miami-based real estate developer Newgard Development Group announced Tuesday that it will open condominium towers purpose-built for home sharing. Operated under the brand Natiivo, the properties in Miami and Austin will be part of Powered by Airbnb, the home-sharing platform’s consulting business for new buildings.

When the first 249 Natiivo units open in Austin in 2021, owners will be encouraged to rent out their apartments when they are out of town. They can choose to list independently or with Natiivo management, which will take 25% of the rental income on top of Airbnb’s 3% listing fee

The buildings will include amenities like co-working spaces and hotel-style food and beverage programs, and apartments can be purchased furnished. Units may feature an extra closet to store sensitive belongings and digital locks for keyless entry.

List prices in Austin will range from $300,000 to $1.2 million. Local real estate firm Pearlstone Partners is co-developing the property.

The Miami project, with 604 units, is expected to open in mid-2022, with prices also starting at $300,000. A portion of the units in both buildings will be held back by the developers and managed like hotel rooms.

Newgard founder Harvey Hernandez is also behind Niido, which provides the same home-sharing services to renters that Natiivo will offer to owners.

Niido invited controversy last year when it took over existing buildings in Nashville and near Orlando, Florida. Many residents who had signed traditional yearlong leases felt blindsided. “Surprise, You Live in a Giant Airbnb,” read one headline from Bloomberg.