Malibu Adopts Short-Term Rental Ordinance

The City of Malibu recently adopted a new short-term rental ordinance.

During the Malibu City Council meeting on November 23, the Council adopted a “Hosted Short-Term Rental Ordinance” to regulate the short-term rental of residential property citywide.

“After extensive review and public comment, we were able to develop a comprehensive short-term rental ordinance that will prohibit nuisance rentals, preserve local housing and protect our neighborhood character in the long-term,” said Mayor Mikke Pierson. “It wasn’t an easy process, but this ordinance should improve the quality of life in our neighborhoods.”

For the last several years, the Council has conducted legislative, legal and financial review of potential short-term rental regulations. On December 3, 2019 the Council initiated a Local Coastal Program Amendment (LCPA) and Zoning Text Amendment to implement short-term rental regulations including that an onsite “host” must be present on the property during short-term rentals and restrictions on multifamily short-term rentals. A Planning Commission Public Hearing was originally scheduled for March 30, 2020 but was ultimately cancelled due to the rapid spread of COVID-19. On September 14, City Council held a virtual public hearing on the Hosted Ordinance and requested staff modify the ordinance to address multifamily rental caps, duplexes and onsite hosting requirements.

The Hosted Ordinance adopted on November 23 will create an annual Short-Term Rental (STR) permit system with two distinct permit types and rental requirements that can be revoked for violations of the STR permit program.

Primary-resident owners of single-family homes and condominiums can apply for a Hosted STR Permit which requires that the host live onsite during the rental, be on site during evening hours between 9:00 PM and 6:00 AM and appear immediately if issues arise during this time. Owners of multifamily and duplex properties can apply for a Multifamily STR Permit. Multifamily property owners may rent up to 40% of units, but no more than two units per parcel, provided that the others are rented on a long-term basis. Duplex property owners can apply for a Multifamily STR Permit to rent one unit as long as the owner lives on site in the other unit while it is being rented.

In order for the Hosted Short-Term Rental Ordinance to go into effect, the corresponding Local Coastal Program Amendment (LCPA) must be certified by the California Coastal Commission (CCC).

On September 24, 2020, to address short-term rental related nuisance issues while the LCPA is being processed, the Council adopted Ordinance No. 468 referred to as the “Enforcement Ordinance.” The Enforcement Ordinance establishes a new short-term rental permit program and is set to go into effect January 15, 2021.

Once the LCPA is certified, the Hosted Short-Term Rental Ordinance will supersede the Enforcement Ordinance. The Hosted Ordinance is designed to mirror the administrative processes of the Enforcement Ordinance to make the transition from one to the other as seamless as possible once the LCPA is certified and the Hosted Ordinance is implemented.

More information is available on the City’s Short-Term Rental web page at www.MalibuCity.org/STR.

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