New York News

“Wolf of Airbnb” Pleads Guilty to Illegally Subletting NYC Apts & Turning Them into Mini-Hotels

By: Donny Simcha Guttman

“Wolf of Airbnb” Konrad Bicher pleaded guilty today to subletting charges in state court. Subletting, the practice of tenants leasing to another tenant for at least 30 consecutive days is legal in New York State, as long as a landowner approves, and providing that the sublet apartment is the renter’s primary residency. There are further regulations in terms of subletting, but Airbnb rental units are prohibited from being sublet.

Bicher in 2022 was sued for a Midtown Manhattan rental unit for breaking state laws and contracting terms. The filing to the New York Supreme Court alleges that Konrad’s “modus operandi is to enter into leases for Manhattan residential apartments or, as here, worm his way into occupancy, and run a type of ‘bust-out’ operation.

That includes renting the apartment out as a profit center through Airbnb, Peerspace and other similar platforms for short-term rentals, failing to pay rent, using the pandemic and laws related thereto to delay any proceedings, and to vacate on the point of eviction. There was an ever-changing cast of strangers with luggage coming in and out of the apartment for short-term stays.

Defendants would leave notices to building personnel that these short-term transients were their ‘guests,’ and would leave cloned copies of key fobs.” Konrad has been and is still involved with other short-term leasing lawsuits. Nicknamed by himself as the “Wolf of Airbnb”, Konrad responded to the Real Deal outlet explaining, “The Wolf of Airbnb: It means someone who is hungry and ruthless enough to get on top of the financial ladder. They compare the ferocity to that of a wolf, because wolves are territorial, vicious and show no mercy when provoked.” When Konrad received the lawsuit, he responded, “Can we work out a settle agreement to pay me to leave? Otherwise, I’ll keep the unit for years and litigate.” During the investigation, Airbnb said they would “sought to cooperate fully” with the FBI.

This lawsuit which Konrad pleaded guilty to is a lawsuit from the landowner of 42nd and 10th Associates LLC. The lawsuit claimed that a woman named Haley Frey in May of 2019, signed onto a lease for unit 43B, and later labeled Bicher as an occupant. In subsequent months, neighbors and doormen alleged to have seen people with camera shooting equipment going to the apartment, despite Konrad called them his “guests.” Bicher charged a $97 hourly charge for a photoshoot in the unit, violating NYC subletting laws. In addition, Bicher refused eviction orders, refused to pay landowners despite receiving $565,000 of fraudulent Covid-money and $1.7 million profit from the renting, and broke contract agreements with landlords.

After the guilty plea, Manhattan U.S. District Attorney Damian Williams said, “Bicher abused Government programs and tenant protections intended to benefit New Yorkers in crisis, and he will have to answer for his conduct. Bicher proudly referred to himself as the ‘Wolf of Airbnb, but, as he admitted in court today, his businesses were premised on fraud.” Konrad could potentially receive up to 20 years in prison. However, under federal sentencing guidelines, he will likely only face 4 to 5 years in prison. He will however, pay a $150,000 fine, $1.7 million in forfeitures, and $1.98 million to his victims. His attorney, Howard Schmacher, has not responded for comment by request from the Post.

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