Manhattan Beach Could Soon Allow Short-Term Rentals Citywide For World Cup

MANHATTAN BEACH, CA — The Manhattan Beach City Council has moved forward with possibly allowing short-term rentals temporarily in 2026.

In a three-to-two vote, the city council last week directed city staff to return with a draft ordinance establishing a temporary short-term rental policy, limited to the FIFA World Cup.

“I definitely support this, but I want people to understand that … this will not become permanent,” Council Member Amy Howorth said. “This is a way to monitor it and accurately enforce ... We should not miss this opportunity, because we're gonna get run over if we, if we don't.”

If the city does not prepare for the possibility of short-term rentals, Howorith said, residents will find ways to rent their homes, and the city will lose out on Transient Occupancy Taxes.

Mayor Pro Tem Joe Franklin, who along with Council Member Steve Charelian voted against the motion, disagreed.

“Anybody here remember the '84 Olympics?” Franklin said. “Everybody was all excited. ‘I'm going to make a million dollars and this, that and the other.’ It didn't happen, OK? … You're going to really put a dent into the quality of life for so many people.”

Short-Term Rentals Banned A Decade Ago

Manhattan Beach first banned short-term rentals citywide in 2015, according to the city’s website.

The decision came after “numerous residents” weighed in about short-term rentals' “negative impacts on residential neighborhoods, such as increased traffic congestion, overuse of public parking, noise, and crime,” the city said.

In April 2022, the Court of Appeal issued an opinion saying the city’s ban does not apply to properties in the coastal zone, according to city officials.

Currently, to operate a short-term rental in the coastal zone, renters must obtain a business license, as well as levy, collect and remit Transient Occupancy Tax.

Demand For Lodging During World Cup

SoFi Stadium in Inglewood, less than 10 miles away from Manhattan Beach, will host eight matches during the World Cup, spanning from June 12 to July 10, according to the Orange County Register.

Though months away, the demand for lodging during the World Cup in Los Angeles County is becoming apparent.

Michael Zislis, who owns Shade Hotel Manhattan Beach, said his hotel is already fully booked for the days surrounding the matches at SoFi Stadium.

According to The Los Angeles Times, short-term rental prices in Inglewood have surged, with some having a 58% increase compared to normal pricing for opening night on June 12.

A Trial Run For The Olympics

Council Member Nina Trieu Tarnay said visitors are coming, regardless of whether or not the city moves forward with temporarily lifting the ban.

“I don't think this is an invitation for people to come,” Council Member Nina Trieu Tarnay said of the possibility of temporarily allowing short-term rentals citywide. “This is planning for the people coming. It's a way to keep control.”

Charelian, though, said that temporarily lifting the ban “may lead to disruptions."

“As caretakers of our community and the quality of life, we have a responsibility to safeguard those neighborhoods, the character, while maintaining the small-town atmosphere that makes our community so unique,” Charelian said.

The initial city council discussion meeting was to consider temporarily allowing short-term rentals citywide during both the 2026 World Cup and 2028 Olympics/Paralympics.

However, the city council scaled back, saying the World Cup could serve as a trial.

“(We can) use that as a basis for evaluating whether or not we would allow this for the Olympics, get some more data, get some more experience,” Mayro David Lesser said.

Staff will return to the city council with a draft ordinance in January, which will define a timeline for temporarily lifting the short-term rental ban citywide, about one week before the event and several days after, according to the city.

The ordinance will also include a cap on the number of operators permitted during the trial period, the city said.