Charlottetown city staff recommend end to commercial short-term rentals

The City of Charlottetown has moved one step closer to regulating short-term rentals, including rooms and apartments listed on Airbnb and other vacation rental sites. 

City staff have presented proposed rules to the city's planning board, and those rules would mean big changes to how the industry operates. 

One person would not be allowed to operate multiple properties, there would be no short-term rentals allowed in apartment buildings, and city and provincial licences would be required. 

City planner Robert Zilke has been capturing local data and looking into what's happening in other parts of Canada. He said people want more enforcement, and planning staff is favouring a cautious, restrictive approach. 

"It's good to finally move forward with a set of regulations," Zilke said.

'Protect long term housing'

Apartments account for a large proportion of short-term rentals in the city, said Zilke, and the planning department wants to end that so that local people can find an affordable place to live.

"We're trying to protect long-term housing," Zilke said.

"There are quite a few apartments that are being rented out as short-term rentals."

The proposed rules would still allow people to rent out a suite in their home while they are at home at the time, but renting out a separate apartment in a building would not be allowed.

Principal residences only

An entire home could be offered as a short-term rental, but it would have to be the principal residence of the host listing it.

Short-term rentals in the city would be referred to as tourist homes, and they would have to follow various licensing rules that are already in place for tourist accommodation.

Staff are recommending licensing at both the city and provincial levels.

"You need both licences to qualify and legally operate your private residence as a short-term rental or a tourist home," Zilke said.

Not a commercial enterprise

The ultimate goal: Planning staff hope to put an end to one owner having multiple short-term rental properties.

"There shouldn't be commercialization. One property owner shouldn't have multiple residences and [be] using them for short-term rental purposes," Zilke said. 

The idea is that owners will either return multiple properties to the long-term housing rental market, or sell them.

Commercialization has had a big impact on the local housing market, Zilke said.

"It's contributed heavily to the decrease in the vacancy rate, rise in property values," he said.

He said Charlottetown is one of the first municipalities in Atlantic Canada to come up with a comprehensive set of regulations. 

The proposal will proceed to a public meeting in November, and once public opinion is gathered, it will move forward to be voted on by council.