October 27, 2023
The LA County Board of Supervisors is voting to enact a Short-Term Rental (STR) Ordinance for Unincorporated LA County. The ordinance would impose severe restrictions on Airbnb-style rentals in Topanga. The county is presenting this as a means to “create affordable housing.” These restrictions will not achieve this, especially here in Topanga; instead, they will simply harm tax paying residents.
Some of the proposed regulations are:
Hosts can only rent out space in their primary residence and only if the host lives there as well.
No additional dwelling units (ADUs) are allowed to be rented, including guesthouses, recreation rooms, yurts, trailers, etc.
An annual registration fee of $914 and a 12% transient occupancy tax (TOT) on all STR’s monthly income. Any violation of this will result in fines up to $1000/day.
Currently, there are only 172 active Airbnb listings in Topanga. Under these restrictions, only seven of those would be allowed to continue to operate. So, there will be virtually no place to rent for a weekend. Not only does this impact existing Airbnbs, but anyone who wants to sublet their primary residence for less than 30 days is required to register and pay a 12% tax, thereby, making STRs financially questionable.
None of the hosts I know in Topanga are willing or able to rent out their spaces as long-term rentals for many reasons. They could also not rent them out for affordable prices if they want to afford their homes. So in restricting ADU STRs, the County will be limiting their tax revenue, hurting their constituents and tourism while not providing affordable housing. Instead, they will be helping the hotels.
What many do not realize is that this ordinance was conceived in 2019 by the Treasury & Tax Collector for the Board of Supervisors when the hotels were up in arms about Airbnbs cutting into their business and not being taxed or regulated.
Hotel lobbyists are now calling themselves “neighborhood activists” and spreading false narratives, making it sound like Topanga has so many Airbnb “party houses” or homes owned by corporations, when in fact there are only a handful. The hosts I know provide a natural sanctuary that their renters love, with areas to park, and guidelines. For many in Topanga, short-term rentals are an economic lifeline. For those of us who responsibly monetize our spare living space, this ordinance will be devastating.
I believe, however, some reasonable regulations are in order. But I also know Topanga is different because people come to Topanga for an ADU experience. Therefore, it cannot be regulated in the same way. A distinction between absentee investors and honest homeowners must be drawn. We can work with the county to ban repeat offenders with “party houses” and corporate investment properties, as well as create a fire-safety plan for all renters, something that many residents would like to see happen.
Some Topangans have banded together and are proposing revisions to this ordinance. We hope to protect the rights of local homeowners while respecting our unique community.
change.org/p/say-no-to-unincorporated-la-s-proposed-short-term-rental-restrictions-on-homeowners.
