Attachment 2: Short Term Rental Regulation (Nov 4, 2021)
Committee of the Whole report regarding initial research into the regulation and definition of short-term rentals in the Zoning Bylaw.
TOWN OF VIEW ROYAL COMMITTEE OF THE WHOLE REPORT
TO: Committee of the Whole DATE: November 4, 2021 FROM: J. Davison, MCIP RPP, Community Planner MEETING DATE: November 9, 2021
SHORT TERM RENTAL REGULATION
RECOMMENDATION
THAT the report dated November 4, 2021 from the Community Planner “Short Term Rental Regulation” be received for information.
CHIEF ADMINISTRATIVE OFFICER’S COMMENTS
I concur with the recommendation.
DIRECTOR OF DEVELOPMENT SERVICES’ COMMENTS
I concur with the recommendation.
PURPOSE OF REPORT
The report provides information for Council regarding the regulation of short term rentals (STRs) within View Royal. The need for this report arose from a bylaw complaint in November 2020. This report reviews the challenges with the current language in the Zoning Bylaw, provides a resource with best practices and recommends Zoning Bylaw amendments to clarify the Town’s regulations around short term/vacation rentals.
BACKGROUND
A Short Term Rental (STR) is currently referred to as ‘vacation rental’ within the Town’s Zoning Bylaw and is often referred to by the name of the online rental platforms such as an ‘Airbnb’ or similar. A more accepted and accurate industry term is ‘short term rental’ or ‘STR’ and will be referred to as such moving forward.
Council’s position on STRs to date has been to prohibit them in residential zones; ‘vacation rental’ is currently a prohibited use within all zones in the Town’s Zoning Bylaw. As per the definition of Transient Accommodation below, vacation rentals in the Town of View Royal are considered in the class of commercial transient uses:
“Transient Accommodation” means the use of a lot, building or other structure for the temporary commercial accommodation of visitors for recreational/vacation purposes only, and includes but is not limited to, hotel, motel, vacation rental, campground, bed and breakfast, and hospital hostel.
The Town’s only currently permitted transient accommodation use within a residential zone is the Level 3 Home Occupation use of ‘Bed and Breakfast’, which has a very detailed set of requirements within the regulations and must be operated by a present principal resident and operator.
Staff has understood that the intent of the ‘vacation rental’ prohibition is to:
- Prevent the displacement of residential units by commercial non-residential rental uses.
- Prevent neighbourhood disturbances (parking, noise, etc.) from non-residential uses in residential zones.
It is staff’s intent to strengthen the Zoning Bylaw to better serve these objectives.
PROJECT INFORMATION
Staff’s interpretation of the Town’s vacation rental regulation has been that it is not lawful to rent residential floor space (often through various online commercial sites such as Airbnb) on a short-term basis, excepting the Bed and Breakfast Home Occupation use. This includes detached residences, secondary suites, townhouses, apartments, or portions of any residential unit types.
Whereas previously it was understood that ‘vacation rental’ covered a duration of less than one month of rental duration, staff research and investigation concludes that this is not the case. In referring to a ‘vacation rental’ the bylaw must be interpreted in its strictest sense in that ‘vacation rental’ means the use of a property while on vacation, as opposed to using a property as a principal dwelling unit (for short durations), or while on a business trip or other non-vacation travel. This makes enforcing the Town’s regulations specific to ‘Vacation Rental’ very challenging.
A residential use is best described as an occupant’s principal dwelling unit regardless of the duration of that stay. In amending the definitions, staff aims to add the following, at a minimum:
- A definition for ‘Principal Dwelling Unit’ describing a residential use as one’s principal dwelling where they make their home.
- A definition for ‘Short Term Rental’ which better captures the short-term non-residential nature of what the Town had previously described as a ‘vacation rental’.
Considering an acknowledged housing shortage, it seems prudent to reinforce the prohibition on STRs with clear definitions, associated regulation, and enforcement clarity.
ANALYSIS AND DISCUSSION
The challenge with interpretation of the Zoning Bylaw language is outlined above. If Council wishes to protect rental housing stock for residential use, amendments to the Zoning Bylaw are necessary. The definitions and general regulations within the Zoning Bylaw should be updated to reflect contemporary industry standards if the Town wishes to protect residential units for residential use and to preserve the residential character of neighbourhoods and buildings.
There are suggested definitions in the Generation Squeeze document attached to the report. That document contains a detailed exploration of the nuances of regulating short term rental, and the different contexts in which a municipality might want to consider allowing this type of use. Based on the information in the housing gaps and needs report which identified a substantial shortfall of rental accommodation, staff does not recommend considering allowing short term rental in any areas of the Town.
NEXT STEPS
With Council’s direction, staff will draft Zoning Bylaw amendments to clarify definitions around Short Term Rentals. Staff will bring proposed amendments to Council in December.
RECOMMENDATION
THAT the report dated November 4, 2021 from the Community Planner “Short Term Rental Regulation” be received for information.
SUBMITTED BY: J. Davison MCIP RPP, Community Planner
REVIEWED BY: L. Chase MCIP RPP, Director of Development Services
ATTACHMENT:
- STR Toolkit – Generation Squeeze – October 2020
Document Images
(2)
