April 26, 2017 4:31 pm
Updated: July 12, 2017 11:49 am

City of Vancouver now considering legal action against unlicensed luxury hotel

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The City of Vancouver is taking stronger action against developers running illegal hotels.

As a CKNW investigation found out, legal action is now on the table for those floating city rules.

Vancouver’s General Manager of Development, Buildings, and Licensing Kaye Krishna says despite multiple requests, the Carmana Plaza has continued to rent out units for stays less than 30 days.

“They have not stopped renting in the short-term, and it is our understanding that they don’t intend to.”

READ  MORE: Another luxury-building operating short-term rentals without proper permits in Vancouver

Krishna says the city had hoped Carmana Plaza meant it when it pledged to stop renting units short-term.

However, she says the fact that the pledge has yet to be followed through on warrants taking things a step further.

“[It is] not operating in good faith, and is not working with us in the way that we understood they were trying to, so we will be escalating.”

Krishna says legal action is one option they have, and an official letter has been sent.

carmana-plaza-hotelThe luxury property on Alberni is owned by developer Peterson, which lists the building as a hotel – even though it doesn’t have a hotel license.

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This is a similar situation to the controversy surrounding the Onni development group’s property The Level, which was renting out units on a short-term basis.

READ MORE: Developer under fire for years of luxury short-term rentals in Vancouver without hotel license

Krishna says the city believes The Level has stopped running as an illegal hotel, but is still considering escalation given the property continued operating as one despite receiving a warning last year.

The City of Vancouver doesn’t allow rentals under 30 days without a B&B or hotel license.

They have long said short-term rentals play a key role in driving up costs in Vancouver’s skyrocketing rental housing market.

© 2017 Global News, a division of Corus Entertainment Inc.

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