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San Diego City Council approves short-term vacation rental law

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UPDATE: The San Diego City Council has approved a short-term rental ordinance, capping the number of rentals in the city's housing stock.

Following the vote, Councilmember Jennifer Campbell released the following statement:

With today’s vote approving San Diego’s first-ever short-term rental rules, we’ve turned the corner on one of San Diego’s thorniest challenges. San Diegans have been asking for common sense and sanity on short-term vacation rentals for years – and now their voices are finally being heard. This new law will keep neighborhoods safe and livable by capping short-term rentals and finally create the robust enforcement arm needed to hold nuisance properties accountable.


SAN DIEGO (KGTV) — Tuesday, a press conference was held at Mission Beach ahead of a City Council decision. The conference, led by Councilmember Campbell, urged members to finally approve a short-term vacation rental law.

Proponents of this issue, which has sparked controversy and delays in the past, believe that if the council approves this law, it will give structure to how rentals in San Diego can operate. Which, before, Councilmember Campbell and community leaders believed was virtually unregulated.

Councilmember Campbell, who authored the law, hopes her colleagues are on her side, "This will allow thousands of homes to come back onto the housing market and bring stability and normalcy to our neighborhoods."

This short-term vacation rental law was given approval by the City Council in April of 2021, then approval by the State Coastal Commission. Tuesday, the City Council will need to fully approve this final adoption for it to move forward.

"The key to the whole thing is that if you are operating a vacation rental without a permit, then that's easy to prove and harshly punishable," Carl Rand, Chair of the Pacific Beach Housing Group, said.

Some key points in the updated law are a cap on whole-home short-term rentals at 1% of the city's housing stock, meaning roughly 50% of whole home rentals would be gone.

"It's really a lot simpler than it seems," Councilmember Campbell said. "We have four different tiers, and tier three is for those who have a whole-home rental in the city of San Diego. They would have to join a lottery to get the license if there's more than 54 hundred, which is the cap at this time."

She furthers, "Those who live in Mission Beach and have a whole home, they'll also have their own lottery. It's 1,080 at this time. And so, if there are only 1,080 who apply, then they will all get a license if they are good actors."

That's the other part of this law, prioritizing those who have abided by City laws. They would still have to meet specific criteria, fill out applications, permits, sales taxes, and more.

"We don't want to throw out the baby with the bathwater," shares Rand. "A system would be needed to protect the traditional family vacation, but eradicate the bachelor parties."

Councilmember Campbell says that the council is currently reviewing 16 employees that would help with the enforcement of this law.

If the council fully approved this law on Tuesday at 2 pm, it could go into effect as early as this fall.

Councilmember Campbell says there will be a review every year to see if changes need to be made. Family vacation, but eradicate the bachelor parties. The council is currently reviewing 16 employees that would help with the enforcement of this law. If the council fully approves this law on Tuesday at 2 pm, it could go into effect as early as this fall.

Councilmember Campbell says there will be a review every year to see if changes need to be made.