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Beverly Hills City Council Moves to Ban Short-Term Rentals

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News Summary

The Beverly Hills City Council has proposed a ban on short-term rentals in response to housing affordability concerns and community disturbances. This includes platforms like Airbnb and Vrbo. A minimum one-year lease requirement for rental properties is also in discussion, aimed at addressing the housing crisis. Public hearings are scheduled for further deliberation on these critical policies.

Beverly Hills City Council Moves to Prohibit Short-Term Rentals and Introduce Minimum One-Year Lease Requirement

The Beverly Hills City Council has decided to prohibit short-term rentals, including popular platforms such as Vrbo and Airbnb, in both single-family and multifamily residences across the city. This significant decision aims to address ongoing concerns regarding housing affordability and community disturbances linked to short-term rental properties. However, a formal ordinance banning these rentals has not yet been approved, pending a public hearing on July 15.

In addition to the proposed ban on short-term rentals, the council has expressed strong support for implementing a minimum one-year lease requirement for most rental properties. Currently, regulations allow single-family residences to be rented for less than six months, but only twice per calendar year. For multifamily buildings, units can currently be rented for a minimum of 30 days.

Community Concerns and Advocacy

Housing advocates have voiced concerns that short-term rentals exacerbate the existing housing affordability crisis in the city. They argue that the conversion of long-term housing into short-term rentals negatively impacts the wider housing market, limiting available options for residents in need of affordable accommodations.

City residents have highlighted additional issues surrounding short-term rentals, including increased noise and disruptive behavior from visitors, which characterize many of these properties as potential nuisances. Some local residents have noted that loud parties and large gatherings from out-of-town guests contribute to a decline in neighborhood quality and safety.

City Movements and Comparisons

Nearby cities such as West Hollywood and Santa Monica have implemented similar restrictions on short-term rentals in recent years, with West Hollywood passing an ordinance in 2024 that mandates a one-year minimum lease for rentals of single-family homes and condominiums. This move has drawn interest from Beverly Hills residents and city officials alike as they navigate through the implications of short-term rental policies.

The proposal to ban short-term rentals in Beverly Hills has garnered backing from several community members during public comment sessions. Local hotels have also expressed support, asserting that short-term rentals pose unfair competition and disrupt their revenue streams by creating an unregulated market.

Potential Exemptions for Historic Properties

Nevertheless, some residents are advocating for potential exemptions to the proposed ban, particularly for historic homes. A resident, who owns a historic 1913 Craftsman-style house, has highlighted how hosting short-term rentals has contributed to preservation efforts for her property. The City Council has hinted at the possibility of allowing exemptions for historic landmark properties that also feature accessory dwelling units, indicating a willingness to accommodate unique cases while still working towards curbing short-term rentals.

According to city staff, there are 19 designated historic landmark residences in Beverly Hills, with approximately five to six of these having accessory units available for rental purposes. The council’s future discussions may include considerations for these historic homes as they seek to balance preservation and community interests.

Moving Forward

As discussions continue, Mayor Sharona Nazarian has raised concerns regarding the enforceability of current policies and has indicated a preference for longer lease durations as a method to bolster housing security. Proposed penalties for violating short-term rental prohibitions may also be intensified, incorporating new fees to discourage non-compliance.

The ordinance regarding the one-year minimum lease requirement will return to the City Council for further deliberation on July 15. Additionally, a separate ordinance considering exemptions for historic properties is set to undergo review by the Planning Commission. These subsequent meetings will be critical in determining the future of short-term rentals in Beverly Hills and the overarching impact on local housing dynamics.

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