Two years after the death of hotelier Earl Hagaman, his wife is now turning her attention to ensuring the government makes Airbnb pay its fair share.
Founded in 1980 by America-born Hagaman and his late business partner Ralph Brown, Scenic Hotels consists of a stable of 18 properties across some of New Zealand’s most pristine and scenic areas as well as being in the major cities and on two Pacific Islands.
Earl Hagaman died in 2017 but his widow, Lani, is executive chair of the company. This year she penned a column in the New Zealand Herald calling out Airbnb's lack of regulation.
“As an owner and investor in the New Zealand hotel sector I sometimes wonder if our political leaders at all levels understand tourism and comprehend the cost and commitment hoteliers make to both tourism and the country,” she wrote.
Hagaman said Airbnb competes directly against hotels, yet creates virtually no employment.
She said her company is responsible for about 900 local employees and must comply with a huge number of government requirements such as financial and commercial taxes, health and safety regulations, and industrial laws.
“This compliance adds to the overall cost of running a hotel.”
By contrast, Airbnb does not have to worry about such compliance.
“All we ask is for a level playing field. Treat us all the same, regulate us all the same, tax us all the same. Let's not kill the goose that lays the golden egg.”
The Scenic Circle golden egg is still subject to a protracted property claim by Earl Hagaman's ex-wife Barbara. She has said she is not pursuing the matter but some of Hagaman’s children cannot see any bequests from his will until all legal matters are settled against Barbara. It is not clear when that might be.
2018: $210 million