New STVR Rules Appeasing Beach Community Residents – NBC 7 San Diego

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New STVR Rules Appeasing Beach Community Residents

>> GOOD EVENING, EVERYONE. Iu2019M MARK MULLEN. >> Iu2019M CATHERINE GARCIA. THANKS FOR BEING WITH US. THIS WAS A BIG VICTORY. >> HERE IS A LIVE LOOK. ACCORDING TO THE LATEST NUMBERS, 45% OF ALL SHORT-TERM RENTALS ARE HERE, IN THE PACIFIC BEACH, MISSION BEACH AND LA JOLLA. >> Reporter: CATHERINE AND MARK, THE SIGN BEHIND ME SAYS IT ALL FOR PEOPLE LIVING IN THIS NEIGHBORHOOD, THAT NEIGHBORHOODS ARE FOR NEIGHBORS AND THEY ARE THRILLED WITH THE SAN DIEGO CITY COUNCILu2019S MOVE WHEN IT COMES TO SHORT-TERM RENTALS. THEY ARE AFRAID THAT PROPERTY OWNERS MAY TRY TO BEND THOSE RULES GOING INTO EFFECT NEXT JULY. LIZu2019S PARENTS LIVE ONLY A FEW DOORS DOWN. NOW SHEu2019S RAISING HER KIDS HERE. >> WE DO STILL HAVE NEIGHBORS I GREW UP WITH. >> I JUST THINK CROWN POINT IS SUCH A JEWEL. >> BUT IN THE LAST COUPLE OF YEARS, MORE SHORT-TERM RENTALS HAVE BEEN POPPING UP IN THIS GEM OF A NEIGHBORHOOD. >> THIS HOUSE WAS REALLY BAD BEFORE. WE HAD MANY NIGHTS WHERE PEOPLE WERE DRUNK AND LAYING ON THE GRASS. IT GETS OUT OF HAND. >> THERE WILL BE THREE OR FOUR FAMILIES OVER THERE PLAYING YATZEE UNTIL MIDNIGHT. >> Reporter: SO THEY PUT IN PLACE RESTRICTIONS ON SHORT-TERM RENTALS. UNDER THE NEW RULES ONLY PRIMARY RESIDENCES CAN BE RENTED OUT SHORT-TERM FOR SIX MONTHS A YEAR. MISSION BEACH, WHICH HAS BEEN A VACATION RENTAL AREA FOR YEARS HAS BEEN GRANDFATHERED OUT. HE AND HIS NEIGHBORS SAY THEY ARE USED TO POLICING THESE PROPERTIES. >> I DONu2019T SEE THAT CHANGING. IT IS NICE TO HAVE SOME SET RULES AND LAWS THAT WILL BE PUT IN PLACE. >> IN THE LEGISLATION, IF THERE ARE PROBLEMS, THERE WILL BE A 24 HOUR SHORT TERM RENTAL CODE ENFORCEMENT HOTLINE. THE CITY TELLS US IF THERE ARE VIOLATIONS PROPERTY OWNERS WILL GET A WARNING AND THEN A PENALTY AND FACE GETTING THEIR PERMIT REVOKED IF THEY DONu2019T COMPLY. BUT THEY WOULD LIKE TO SEE IT RETURN TO THE COMMUNITY IT WAS INTENDED TO BE. >> HOPEFULLY SOME HOMES WILL BE OPENING UP AND MORE FAMILIES WILL BE ABLE TO MOVE IN. >>> AND AS WE GIVE YOU ONE LAST WEEK FROM DRONE RANGER 70, YOU CAN SEE — OR 7, YOU CAN SEE HOW CLOSE TOGETHER THESE HOMES ARE AND WHY NEIGHBORS HERE ARE THRILLED ABOUT THIS MOVE. ONE THAT THEY HOPE WILL RESULT IN LINING THE STREETS WITH PEOPLE WHO WANT TO MAKE IT THEIR HOME. ONE LAST NOTE FOR YOU AS WELL, THE CITY SAYS THAT IF PROPERTY OWNERS CONTINUE TO VIOLATE THOSE NEW RULES, THAT THEY COULD FACE FINES POSSIBLY AS HIGH AS $10,000 A DAY. AND THATu2019S A PRETTY PENNY, EVEN FOR A HOME LIKE THIS ONE ON THIS STREET.","video_id":"1279787075621_694","video_length":"187054","video_provider":"","short_video_excerpt":"","mpx_download_pid_mobile_low":"","pid_streaming_web_mobile_low":"","mpx_download_pid_mobile_standard":"","pid_streaming_mobile_standard":"","alleypack_schedule_unpublish":"","feed_remote_id":"","feed_thumbnail_url":""}” data-livestream=”false” data-title=”City’s STVR Regulations Appease Some Neighbors” data-vidcid=”1:13:152705″ data-vidurl=”https://www.nbcsandiego.com/on-air/as-seen-on/city_s-stvr-regulations-appease-some-neighbors_san-diego/152705/” data-islead=”true” data-catnames=”{"11764":"On Air","18052":"As Seen On"}” data-tagnames=”{}” data-customdata=”{}” data-autoplay=”true” data-cplay=”true”>

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NBC 7’s Bridget Naso spoke to neighbors who are happy about the city’s newest short-term vacation rental regulations.

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Beach community residents are signaling victory after the San Diego City Council voted to put new regulations on short-term vacation rentals.

Residents like Liz Garcia say they were being overrun with short-term rentals that brought along disruptive and disrespectful temporary tenants.

Garcia grew up in Crown Point and she and her husband now raise their two girls there. Recently, the property next to their home became a short-term rental.

“You know, there’ll be three or four families over there playing Yahtzee until midnight,” Garcia said.

>> SAN DIEGOu2019S SHORT-TERM VACATION RENTAL MARKET HAS BEEN TURNED UPSIDE-DOWN AFTER A MARATHON SIX-HOUR MEETING YESTERDAY. THE CITY COUNCIL MADE DRAMATIC CHANGES AFFECTING RENTALS. STARTING NEXT JULY ONLY LICENSED RESIDENTS WHO ACTUALLY LIVE IN THEIR HOMES CAN RENT THEM OUT AND THEY CAN ONLY DO IT FOR SIX MONTHS OUT OF THE YEAR. AS YOU MIGHT IMAGINE THE DECISION WILL HAVE A HUGE IMPACT ON PEOPLE WHO HAVE BEEN RENTING OUT PROPERTY FOR YEARS. THEYu2019RE NOT HAPPY AND ARE SCRAMBLING TO FIGURE OUT HOW THE CHANGES APPLY TO THEM. >> NBC 7u2019S ARTIE OJEDA WITH REACTION NOW THAT THIS REALITY HAS SET IN. THESE ARE SOME BIG, BIG CHANGES, ARTIE. >> Reporter: MONICA AND CATHERINE, YEAH, IT WAS A FIERY AND COMBATIVE CITY COUNCIL MEETING. WE HEARD FROM A LOT OF PROPERTY OWNERS WHO SAY THE RENTALS ARE A CRITICAL SOURCE OF INCOME. TODAY I TALKED TO A MAN WHO HAS RENTED OUT THREE UNITS HERE FOR THE LAST THREE YEARS AND — I SHOULD SAY TWO UNITS FOR THE LAST THREE YEARS — AND HE CALLED THE COUNCILu2019S DECISION SHORTSIGHTED. ITu2019S A CITY COUNCIL GUT PUNCH TO THOSE WHO HAVE LONG CASHED IN ON SAN DIEGOu2019S SHORT-TERM RENTAL MARKET. >> I THINK ITu2019S ONE OF THE MOST SHORTSIGHTED DECISIONS THE CITY COUNCIL HAS EVER MADE. >> Reporter: THIS MAN RENTS OUT TWO UNITS IN LA JOLLA ABOUT A BLOCK FROM THE BEACH. HE ALSO LIVES HERE. HIS UNITS ARE LISTED AS A WIND AND SEA PARADISE FOR $119 A NIGHT. >> THE COMMUNITY IS GOING TO SUFFER. FINANCIALLY THE CITY IS GOING TO SUFFER. THE COUNTY IS GOING TO SUFFER. I DONu2019T THINK PEOPLE REALLY UNDERSTAND THE TOTAL IMPACT. >> Reporter: UNDER THE NEW RULES HE WILL NOW ONLY BE ABLE TO RENT OUT ONE OF HIS UNITS AND THE UNIT HE LIVES IN FOR SIX MONTHS A YEAR. >> I KNOW THERE ARE PEOPLE SO ANGRY THEY WANT TO SUE. Iu2019VE RECEIVED A LOT OF E-MAILS FROM PEOPLE SAYING WHERE CAN I CONTRIBUTE TO FUNDING SO WE CAN FIGHT THIS? >> Reporter: BELINDA SMITH WAS A SHORT-TERM RENTAL ALLIANCE, SAYS THE CITY HAS TAKEN A BIG STEP IN CREATING MORE PROBLEMS SUGGESTING IT COULD POTENTIALLY CREATE AN UNDERGROUND MARKET IMPOSSIBLE TO REGULATE. >> I THINK WEu2019VE LITERALLY STRUCK SUCH A BLOW TO THE VACATION RENTAL INDUSTRY THAT IT WILL BE VERY HARD TO FUND ANY SORT OF MONITORING OR REGULATION OR ANYTHING THATu2019S GOING TO HELP CLEAN UP THE INDUSTRY. ITu2019S JUST NOT GOING TO HAPPEN NOW. >> Reporter: SHE SAYS MANY PEOPLE ARE COUNTING ON LEGAL ACTION TO BLOCK THE COUNCILu2019S DECISION. THEY WANT THE COASTAL COMMERCIAL WHO HAS LONG FAVORED SHORT-TERM RENTALS TO STEP IN AND TAKE ACTION. >> I HOPE SOME PEOPLE HAVE SOME REASON, THAT PEOPLE UNDERSTAND THE TOTAL IMPACT. I LOOK FORWARD TO COMING UP WITH SOMETHING THAT IS GOOD FOR THE COMMUNITY. >> Reporter: BACK LIVE IN LA JOLLA, HE SAYS IN A WORST CASE SCENARIO HE COULD RENT OUT THE UNITS LONG TERM. MEANWHILE FORMER CITY ATTORNEY JAN GOLDSMITH WAS AT YESTERDAYu2019S MEETING REPRESENTING THE INTERESTS OF THE RENTAL INDUSTRY. I REACHED OUT TO HIM TODAY VIA PHONE CALL AND E-MAIL TO SEE IF PERHAPS LEGAL ACTION IS ON THE HORIZON. HEu2019S YET TO GET BACK TO ME. WEu2019LL WAIT AND SEE WHAT DEVELOPS","video_id":"1279697475688_493","video_length":"187688","video_provider":"","short_video_excerpt":"","mpx_download_pid_mobile_low":"","pid_streaming_web_mobile_low":"","mpx_download_pid_mobile_standard":"","pid_streaming_mobile_standard":"","alleypack_schedule_unpublish":"","feed_remote_id":"","feed_thumbnail_url":""}” data-livestream=”false” data-title=”Fallout Over Short-Term Rental Vote” data-vidcid=”1:13:152728″ data-vidurl=”https://www.nbcsandiego.com/on-air/as-seen-on/fallout-over-short-term-rental-vote_san-diego/152728/” data-islead=”false” data-catnames=”{"11764":"On Air","18052":"As Seen On"}” data-tagnames=”{"27":"Artie Ojeda","140":"Attorney","37330":"Belinda Smith","10751":"COUNCIL VOTE","42107":"Jan Goldsmith","33":"KNSD","3950":"la jolla","1942":"Maine","38":"NBC","37":"NBCUniversal Inc.","88":"Reporter","4":"San Diego","36":"VMS"}” data-customdata=”{}” data-autoplay=”false” data-cplay=”true”>

Bothersome short-term neighbors are a frequent annoyance for the Garcias, leaving one to imagine how the family felt when the City Council voted 6 to 4 approve restrictions proposed by Mayor Kevin Faulconer.

Under the plan, residents may be issued a license to operate a short-term rental for their primary residence and one additional license for a dwelling unit on the same parcel as the host’s primary residence, ending the practice of out-of-town property owners using the short-term rental industry to profit from homes in San Diego.

Regulations also require operators to register with the city, secure a Transient Occupancy Tax (TOT) certificate, obtain a Neighborhood Use Permit for dwelling with four or more bedrooms and comply with Good Neighbor policy, including posting local contact information on the property being rented.

Anyone who operates a short-term rental must pay local tourism taxes and charge a nightly fee of $2.76 that would go towards affordable housing.

“We’re cautiously excited,” Garcia said.

Mission Beach, which has been a vacation rental area for years, was grandfathered out.

The city told NBC 7 that neighbors will have a 24-hour hotline they can call if there are problems. Property owners will get a warning, then a penalty and then could face having their permit revoked if they or tenants commit multiple violations.

Garcia and her husband think people will still try to get around the new laws, but they and their neighbors say they are used to policing these properties.

But they’re hopeful the new rules will allow more people to make Pacific Beach their home.

“Hopefully some homes will be opening up and more families will be able to move in,” Liz said.

Donald Wilson, whose family bought their home on Jewell back in 1945, said he is happy about the changes when it comes to short-term rentals near his home.

He told NBC 7 there was a stream of parties and beer bottles in the streets pointing to one former rental.

“This house was really bad before. We had many nights when people were drunk and laying on the grass. It gets out of hand.”

Wilson thinks the legislation will help restore his community.

“As more houses are grabbed by these people for the short-term rentals, there’s less houses for people to buy,” he said.

But not all beach community residents are happy about the new rules. Some say they are preparing to battle in court.

Belinda Smith of the Short Term Rental Alliance of San Diego says she’s heard from property owners who are poised to take legal action.

“I know that there are people so angry they want to sue. I’ve received emails from people saying ‘Where can I contribute to funding so I can fight this?” said Smith.

Belinda Smith of the Short Term Rental Alliance of San Diego, says she’s heard from property owners who are poised to take legal action.

“I know that there are people so angry they want to sue. I’ve received emails from people saying ‘Where can I contribute to funding so I can fight this?” said Smith.