The Des Moines City Council on Monday delayed action on proposed changes to its regulations on short-term rental housing.
After spending more than two and a half hours hearing from dozens of speakers on the changes, which would govern properties rented out on platforms such as Airbnb, members of the seven-person panel decided the ordinance needed more fine-tuning.
“We want to make sure we get the balance right. That's the important piece. There need to be protections for neighborhoods," said Ward 3 Councilman Josh Mandelbaum, who told his colleagues he couldn't support the measure as presented.
Under the proposed changes, short-term rental owners would no longer be required to live in the home they rent out. Currently, owners must live in the structure they rent for at least 275 days, preventing them from owning and leasing multiple properties.
Some council members, Mandelbaum and at-large Councilwoman Connie Boesen, wanted to take a look at limiting the number of short-term rentals that could operate in residential neighborhoods. Boesen also wondered how city staff would be able to accommodate the required inspections of the short-term rentals.
"I don't know if I feel that we are hitting the mark 100%," she said.
The council set May 18 as the date to reconsider alterations to the short-term rental ordinance, and it will likely examine the topic at a work session before then.
When the council approved the zoning-code overhaul back in October, members promised to re-evaluate the short-term rental rules after Airbnb owners vocally objected to the more restrictive rules, saying they would curtail their businesses, keeping them from purchasing and renovating otherwise unwanted properties.
Previously: 'It would put me out of a job': New rules would restrict Airbnbs in Des Moines
The city began reworking the ordinance in the new year, fewer than three months after the original passage, and proposed reversing several of the new rules.
But a collection of Des Moines homeowners began to oppose the new changes. On Monday, some complained of short-term rental guests being unruly. They worried about parking and expressed their desire for permanent neighbors rather than houses that would sometimes sit empty.
David Schlarmann, who lives in Sherman Hill and rents out a house long-term there, said the neighborhood was still reclaiming housing stock for single family use. Prevalence of Airbnb-like properties could halt that progress, he said.
“You may see us revert back to the past," he said. "I’m very concerned about that.”
Meanwhile, more than half the speakers spoke in favor of the looser restrictions. Some own Airbnb properties, while others help manage or clean them for additional income. One owner, Emily Donlin, said the property she and her husband own on Harwood Drive helps her pay off her student loans.
Like other Airbnb property owners, she and her husband made $200,000 worth of renovations on a dated house to make it attractive to guests. She showed photos to the audience of the newer, brighter home.
“It was in really, really bad shape before,” she said.
While some residents complained of noise, revelry and fights coming from short-term rental properties, Community Development Director Chris Johansen said the city has only fielded four to five complaints on short-term rental properties over the past two years.
AirDNA, a short-term rental tracking website, showed 294 active rentals in Des Moines, listed on Airbnb and Vrbo.
Two adults wanting to book an Airbnb stay for next weekend (Feb. 28 to March 1) can choose from about 165 listings in the Des Moines area, according to the Airbnb website. Twelve of the listings reside in the Sherman Hill Neighborhood, a historic area with older homes and apartment buildings.
Carlie Hamilton, who lives in Ingersoll Park near three Airbnb-type properties, would like to see the council limit the number of short-term rentals per neighborhood: at least 1,000 feet of separation between short-term rental properties.
More: Des Moines preparing to roll back restrictions on short-term rental properties like Airbnbs
But Airbnb owner Brad Podray, who's led the effort to relax the city's restrictions and owns several Airbnb properties across Des Moines, said the threat of more Airbnb-style rentals is overblown. In fact, he's shutting down a pair of his Airbnb houses because the short-term rental market “has absolutely reached saturation.” He said he's seen sales at his units drop around 20-30% since 2018.
While more people have joined the market, he said it's still not as though short-term rentals are close to taking over blocks of single-family housing because Des Moines doesn't attract enough tourists.
To Hamilton, a cap on short-term rentals in a neighborhood would be a safeguard that could prevent excessive noise or an influx of guests parking on the street. While short-term rental owners buying and refurbishing unwanted properties might be a benefit for some parts of the city, she wants permanent neighbors invested in her local schools and streets.
Podray said the rules considered Monday would still protect neighborhoods. Short-term rental owners would need to obtain two permits, a conditional-use permit from the Zoning Board of Adjustment, which could revoke the permit if they find any complaints about the property valid, and a rental certificate. The rental certificate would prompt city inspections approximately every two years.
“I think it is the best way to progress forward,” he said.
Austin Cannon covers the city of Des Moines for the Register. Reach him at awcannon@registermedia.com or 515-284-8398. Your subscription makes work like this possible. Subscribe today at DesMoinesRegister.com/Deal.
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February 23, 2020 at 07:00PM
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Des Moines City Council delays action on rolling back short-term rental regulations - Des Moines Register
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