The Airbnbs mentioned rented throughout the year in monthly periods, so they fill a different niche. The new law kills not only short term stays but everything that goes through an online provider (except multi-year contracts).

When I first arrived here I relied on these long stay airbnbs until I could find a way through the byzantine Spanish rental process. Now this option will no longer exist.

Again, you are not familiar with Spanish politics if you think this is by accident. I have myself given up on any attempts of doing business here after I spent 1 year waiting for a certain business license and could only obtain it (in a week) after a chance friendship with a local notary. :)