A new ruling out of the Fifth Circuit is likely to have significant impacts on the ways that municipalities may regulate short term rental properties (“STR’s”). In Hignell-Stark v. City of New Orleans, 46 F.4th 317 (5th Cir. 2022), the court reviewed a New Orleans ordinance which limited the right to use a residence as an STR to only people whose primary residence was in New Orleans.

In its holding, the court made two noteworthy determinations. First, it ruled that the City of New Orleans’s regulation of STR’s was not a “Taking”, and therefore New Orleans was not required to provide compensation to people who alleged their property value was decreased by the ordinance. Second, the court determined that the ordinance violated the Commerce Clause because it discriminated against people who were not residents of the state of Louisiana.
Continue Reading A New Federal Ruling Outlines Limits to Short Term Rental Regulation

Short-term home rentals (“STRs”) are big business in the Colorado front range, both in places where they are currently allowed and those where they are not. In many cities, people are renting their residences on apps like VRBO and Airbnb, even when prohibited by the zoning code. One such city, Lakewood, Colorado, is attempting to deal with this issue head on by adopting ordinances to directly regulate STRs. However, Lakewood’s proposed ordinances have a stricter bite than the regulatory schemes of other cities in the area such as Denver.
Continue Reading Short-Term Rentals on the Horizon for Lakewood

Update: Since the drafting of this post, the below rules were approved and adopted. The final rules will take effect on April 10, 2019.

Homeowners operating short-term housing rentals in Denver will soon have a few more boxes to check prior to renting out their homes on popular hosting platforms such as Airbnb and VRBO.

While operators of short-term rentals are already required to be licensed by the City and County of Denver, new rules regarding the operation of short-term rentals in Denver are expected to be enacted next month, according to the Department of Excise and Licenses.
Continue Reading New Rules Expected in February Impacting Denver Short-Term Rentals