Housing Proposals Impacting LA Short-term Rentals & Hotel Development

L.A. City Council Considers Housing and Development Proposals

Today’s L.A. City Council meeting will address two housing-related proposals that could significantly impact short-term rental hosts and developers. Council President Paul Krekorian is spearheading both proposals, which focus on police permits for short-term rentals and a Responsible Hotel Ordinance.

Police Permits for Short-Term Rentals

Krekorian suggests that requiring short-term rental hosts to obtain a police permit will help the city crack down on properties that attract illicit behavior and parties. However, critics argue that it will only add another regulatory hurdle for short-term rental and hotel operators. If the proposal passes, those applying for a permit would need to undergo a background check, and initial fees could amount to hundreds of dollars, as reported by the L.A. Times.

Currently, the city’s Planning Department lists approximately 6,725 short-term rental units. Airbnb has not yet commented on the proposal.

Responsible Hotel Ordinance

Krekorian has also proposed the Responsible Hotel Ordinance, which would require developers of new hotel properties to replace any permanent housing lost during the development process. The ordinance also aims to strengthen public oversight over development and increase the supply of interim housing available to the city.

As part of the ordinance, the city would create a registry of vacant rooms that can be made available for interim housing. If the ordinance passes the council vote, it will go into effect on July 1, 2024.

Implications for the Housing Market

These proposals, if passed, could have significant ramifications for both short-term rental hosts and developers in Los Angeles. The police permit requirement may deter some hosts from operating, while the Responsible Hotel Ordinance could affect the development of new hotel properties and the availability of interim housing in the city.

It remains to be seen how these proposals will impact the housing market in Los Angeles, but they represent ongoing efforts by the city council to address concerns related to short-term rentals and development. As the housing landscape continues to evolve, it is crucial for both hosts and developers to stay informed and adapt to any new regulations.

Orginal article: Link To Article – provided by Kansas City Realtors