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Wednesday, July 7, 2010 • Paris, France
Dear Parler Paris Reader,
There were so many other things I wanted to write about today...the upcoming Bals des Pompiers, tonight's World Cup Final and the Tour de France...but it hasn't worked out that way. Instead, my email inbox is overflowing with readers' queries about the article that appeared in the New York Times yesterday.
As much as I'd like to just ignore the issue and hope that it goes away (for the third time), not only will you simply not let me, but you all deserve to know the truth (as I know it) and another point of view, namely mine.
The article is not new news. In fact, it's really old news (from last November) that has been resurrected by a New York Times journalist that uses a sensational opening line to get your attention. Before I direct you to the article itself, consider what I have to say about it first, then, read it with a clearer pair of glasses.
Word to the wise: As a person who writes what others read, I have learned the power of the media. People generally believe what they read or hear without questioning its validity, but that's a naive acceptance that the author's reality is in line with the truth. So, be careful of what you read and what you believe...even this!
Nonetheless, the story is about the City of Paris' attempt to find more affordable housing by "cracking down" on short-term rental apartments in the city. The funny thing is that since yesterday, the online title of the article has changed!...and the new title is almost word for word out of a press release issued in November 2009 by an unauthorized individual who is no official, no authority, nor journalist.
As a journalist, this is a clear indication that not a lot of investigative reporting to uncover the truth has been used! That's pretty shameful for a New York Times journalist upon whom we depend for 'the truth.'
Here's the story as I know it. Again, this doesn't even mean it's the truth! It's only that it's what I know (and believe), just as others have espoused theirs.
For years the city has been seeking ways of finding more affordable housing. Mayor Bertrand Delanoë was elected on this platform and in order to satisfy his constituents, he dropped a few new laws on the books that he believed would help him accomplish this. They sat there very quietly for use upon his whim without much ado, as the laws are, in the opinion of many, unconstitutional and are clearly in contradiction to other established laws.
The laws which define the way a property can be leased by a contract of particular parameters, designed to protect the tenant, are violated by many thousands of property owners, French and foreign alike. The enforcement of the law to date has only been directed at individuals who were denounced by their neighbors. (Denouncement is a common practice in France. It's a sure-fire way of taking revenge on a fellow resident, if that's how you want to make them suffer!)
I've heard a few different numbers, but the article in the New York Times claims that about 25 letters like this "have been sent since enforcement began last autumn — most of them in response to complaints made by neighbors. And only a handful of those cases have gone to court."
Twenty-five is hardly a "crack down," when one considers the estimate to be in the tens of thousands of properties of this nature in the City of Light! Keep in mind, too, that there has been no official statement from the city to inform its citizens of these laws nor any major effort to seek out offenders!
I have a copy of one such letter which came from the city hall to a client of ours. She was sure one of her neighbors made the complaint and she refuted the charges, as she should. She owns the apartment, uses it from time to time, rents it on occasion and expects to retire there someday. As far as I know, the city accepted her response.
The others who are refuting it, or suing the city for their allegations, are making it very difficult for the city to enforce the law. Not only that, but the city doesn't have the manpower to even begin to do such a thing, nor do they seriously want to! I doubt Delanoë wants to turn himself into the 'bad guy' in the eyes of the whole world by harassing thousands of individual property owners or creating havoc for tourists who both bring many millions of euros into his economy. He may be a Socialist, but I have never believed he was stupid!
Imagine what the Office de Tourisme has to say about this? And all the businesses who temporarily house their international workers? What about the thousands of people who spend a month or two here doing research or performing other important tasks and need short-term housing? How will all those people be accommodated if not for the properties that make this possible? And what about the "Invest in France" agency which does everything in its power to bring in foreign companies and investors? How do you think this will affect Paris as a major player on the economic scene or as a truly 'international city' with power and prestige?
In November 2009 when this first came to light, it was because two individuals saw an opportunity to gain publicity for themselves by blogging about the 'new' regulations (on the books since 2005) and even distributing a press release to as many email addresses they could find...to the point of 'spamming.' The words these bloggers used were "cracking down," even though 25 letters is hardly a "crack down." The phrase was picked up by dozens of other media -- how easy is it to just copy from a press release! -- just as the New York Times did, as a way of sensationalizing the story without considering how it paints an incorrect picture.
At the time, I consulted with our property attorney, our Notaire, our "expert comptable" (CPA) and even a tourism official at the City Hall to try to understand the truth and how our property owners and renters should deal with the situation. They all 'cracked up' at first. "What are you talking about," they asked. They hadn't even heard of such ludicrous regulations. They had to research the law. They had to ascertain what was happening and form an opinion.
If the city was "cracking down" then why didn't all of these professionals know about it!?
Our attorney, in a letter dated January 8, 2010 to me and our clients, wrote: "In the present state of affairs, the situation can be disputed and could lead to litigation based on freedom of trade and industry."
There are lots of ways owners can find to get around the laws! And we are in the process now of creating safeguards for our clients so that they can go about their business and protect their investments. Meanwhile, the City Hall is planning a statement this coming September, and that, and only that, is what we can count on as being the truth.
Meanwhile, no one should panic. No property owner should run to place their property on the market for sale! No renter should cancel their contract. No agency owner should fold their business. There will surely be a solution that allows us all to have the freedom, within reason, to provide this kind of housing, to satisfy the need of the tenants, and for the profiteer to be rightfully taxed on its earnings. I trust that Mayor Delanoë and the city officials will want to find a fair and just solution that will appease all of his constituents and at the same time accomplish his goals. There are lots of better ways than harassing individuals and he knows this.
Call me optimistic. Call me a fool. Call me a realist. Call me anything you like, but know that it is of no use to live in fear without knowing the truth.
Now, go ahead and read the New York Times article.
A la prochaine...
Adrian Leeds
Editor, Parler Paris
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P.S. Don't forget, French Property Insider is now free! Subscribe now and stay tuned on what's transpiring with the rental regulations as more comes to light. Click here now: frenchproperty/insider/
P.S. Start off the holiday by joining us for our gathering at Parler Paris Après Midi...this coming Tuesday, July 13th from 3 to 5 p.m. visit parlerparis/apresmidi.html for more information. And take note that the Parler Parlor French-English Conversation Group is open all summer long, but closed for Bastille Day on the 13th and 14th of July. Visitparlerparlor.com for more information.
