Yours is a very well written post. Thank you for investing the time to do that.
It’s a challenge to respond to this review because so many complaints are made and therefore a comprehensive response would be long, attracting unwanted attention to the guest review. [I’ve read elsewhere that a strategy is to write a response even longer than the guest review, implying that you tried to resolve the matter but that does not strike me as wise or applicable; Bad Airbnb Reviews: How to Turn Them into Your Weapon | iGMS.
Most here I believe would recommend you do not respond.
But you asked for a response. Mine might be: “We have over 150 reviews testifying to quite the opposite experience. Best to you.”
I have a feeling some members here will find ways to inject sarcasm but I struck out there. 
You didn’t ask but I would write to Airbnb to ask that this retaliatory review be removed. I am assuming that the requested cancellation rationale was on the platform, or at least in a writing you could share with Airbnb.
As an aside here’s a thread on the forum here on removing retaliatory reviews: Has *anyone* had a retaliation review removed? - #2 by dropnothing; the very first response is almost identical to your fact situation, though the Host doesn’t explain how the Host succeeded, except perhaps by persistence. [You might message that member on what they said.]
Here’s my draft :
The review by [fill in name; Confirmation code x] with check-out date of y should be removed as a retaliatory review.
Correspondence on the platform (attached) shows that the guest wished to cancel the reservation after belatedly reviewing the house rules, which the guest stated ‘shocked him’ and noticing that parking was first come, first served.
We did not agree to the cancellation.
Hence this retaliatory review, which is contradicted by our over 150 reviews.
Please remove this review, and thank you in advance for your consideration of this request.