Laguna Beach Council Votes To Ban New Airbnb Rentals

LAGUNA BEACH, CA -- Short-term lodging, such as the kind provided by Airbnb, will become outlawed in the city under an ordinance passed by Laguna Beach City Council this week.

Under the ordinance, which was approved June 4, new short-term lodging will not be allowed in the city's residential areas, but that currently approved lodging permits under an existing ordinance will be grandfathered in. Their right to use the property as a short-term rental ends however, if the ownership of the property changes hands.

If the new owner wants to continue the short-term rentals, they'd have to apply for a permit.

Also under the new ordinance, overnight guests will be limited to two per bedroom, and renters must also have two designated parking spaces.

The ordinance also states, however, that short-term lodging will be allowed in certain mixed-use and commercial zones.

The vote to approve the ordinance was 3-2, with Council members Steve Dicterow and Peter Blake casting the votes against.

There has been a moratorium on short-term rentals in Laguna Beach since 2015 due to complaints from residents about renters.

Before the moratorium, Laguna Beach had 110 properties approved to operate as short-term rentals, according to the city.

The ordinance will not go into effect immediately, however; it is subject to approval by the California Coastal Commission, which has the final say on such matters. The Coastal Commission is expected to review the ordinance at an upcoming meeting, but an exact date has not yet been set.