The City of Kelowna is opening up the licensing application process for Airbnb-style short-term rentals on Apr. 23.
Unlicenced operators face fines after July 1.
“The city actively works to ensure short-term rental operators comply with rules and regulations,” Kelowna’s guidebook on short-term rentals stated.
“Operators may face fines of up to $500 per day, per offence, and significantly higher amounts if compliance efforts require escalation.”
Kelowna city council created the new bylaws to protect long-term rentals in the Okanagan city.
There were 1,979 unique short-term rental listings in 2018, according to the city, up 69 per cent from the previous year.
The vacancy rate in Kelowna is said to be around one per cent.
Many homeowners have said they operate an Airbnb to help supplement the cost of owning a home in Kelowna, where the average price of a single-family detached home is $648,000.
Council voted in favour of the regulations despite a packed March 12 public hearing where most residents spoke out against the proposed bylaws.
Under the new bylaw, homeowners or primary residents can legally rent principal residences for periods of 29 days or less, if they obtain licences under the new bylaw.
The business licence number for the operator must be listed on all advertising for the rental and the licence must be displayed in the rental unit.
An annual licence will cost $345 for a principal residence.
Some buildings in Kelowna that have been zoned for short-term rental will remain the same, but operators will be required to be licensed.
“Renting a non-principal residence is allowed in select commercial and tourist areas,” the city said.
“In this case, the short-term rental operator may not be a corporation or society.”
The non-principal residence rate applies in those tourist-zoned areas and will cost $750.
The city has yet to create bylaws for carriage homes and secondary suites and is considering a separate bylaw for them later this spring.
Requirements to apply for a licence include:
- Business Licence
- Fire & Safety Form
- Good Neighbour Agreement Form
- Owner Consent Form
- Strata Consent Form
The application requires documents, including government-issued ID, that prove the operator’s principal residence.
The extensive fire safety requirements include:
- Provide contact information for someone who is available to respond to incidents 24/7
- Post a fire and safety evacuation plan in sleeping units and at exits
- Install working, connected smoke alarms on each floor and in every sleeping unit.
- Install an accessible, working fire extinguisher on each floor
- If your property contains gas appliances, ensure there is a working carbon monoxide detector on every floor
- Test annually, and maintain in working order, all smoke alarms, fire extinguishers, and carbon monoxide detectors
Parking requirements will also be enforced.
Rules will also govern how many people can sleep in each available room.
Forms for the application process can be printed off the City of Kelowna’s website linked here.
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