Article Courtesy of The Real Deal
By James Teeple
Published December 19, 2016
The law is clear on Miami Beach. Short-term rentals of less than six months
and one day are banned in all single-family home districts in the city.
Now, the city is tightening regulations for condominium owners and
condo-hotels in the zoning districts where short-term rentals are allowed.
Responding to complaints from residents of condominium buildings where
short-term rentals are rampant, the city commission passed an ordinance on
Wednesday that says properties rented to visitors and tourists on Airbnb and
other services will be classified as “transient short-term rentals.” Any
owners who want to rent those properties will first have to notify the city
to determine if the property is located in a district where short-term
rentals are legal.
If the property is located in such a district, the owners will be required
to submit a sworn affidavit to city officials that the property has obtained
an appropriate business tax receipt and resort tax registration certificate.
If the property is in a condo, the owner will be required to show city
officials proof that the condo association allows short-term rentals.
Additionally, unit owners in an apartment hotel or condo-hotel that is not
affiliated with a primary hotel operator will have to disclose that fact to
potential guests when they are registering. Violators of the ordinance would
receive an initial fine of $1,000 followed by fines of $5,000, $7,500 and
$10,000 for subsequent violations.
The measure passed unanimously despite complaints from several residents,
who said they should be allowed to rent out their condo units as they
pleased.
Among the chief opposition: Brian May, a lobbyist for Airbnb, who told
commissioners the city was “over-regulating” the issue. He said those who
want to rent out their units in areas where such rentals are allowed should
be able to affirm in a plain letter that their condominium permits such
rentals, rather than have to obtain a formal affidavit from their
association. May also said owners should be able to register and get their
business tax receipts online.
But Joy Malakoff, one of the sponsors of the ordinance, told The Real Deal
that commissioners felt strongly that the burden of proof should be on the
owner. “Well, South Florida is the fraud capital of the country and we just
felt it was putting too much trust in every condo owner, saying ‘Yes they
are going to tell the truth,’” Malakoff said. “If you get an affidavit and a
letter from a condo association, we as the governing body of the city feel
much more comfortable that they really are allowed to do short-term
rentals,” she said.
The new ordinance also tightens regulations on condominiums that have hotel
units within them, requiring that such units meet ADA requirements, fire
code regulations as well as have staff available to address guests concerns.
Miami Beach authorities have been slapping huge fines on single-family
homeowners who rent out their properties on Arbnb and other short-term
rental sites like Homeway.com and Booking.com. The city has charged well
over a million dollars since it upped fines to $20,000 for first time
violators last December. The fines can double and triple for subsequent
violations. City officials say the $20,000 dollar fines have helped curb the
problem of single-family homes being rented out as party houses to
short-term renters.
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