Short-Term Residential Rentals

On December 10, 2016, and January 28, 2017, the County Board adopted new Zoning Ordinance regulations that define a short-term residential rental as a new home occupation called “accessory homestay” and creates standards for this use to allow it in units used by either the owner or a renter as his/her primary dwelling. The regulations affect short-term rentals through online services such as Airbnb, Craigslist, VRBO and other similar services.  The new regulations went into effect on December 31, 2016.

Apply now for an Accessory homestay permit.

Community Engagement

The County Board authorized advertisement of the proposed amendments at its October 15, 2016 meeting. Staff conducted a broad outreach process to better understand community sentiment on this issue. Hundreds of Arlington community members participated in an online feedback form, an open house on November 2, a Virtual Q&A on November 3 and spoke at public hearings. The regulations were informed by the public input received.

Zoning Elements

This table shows the elements of the proposed Zoning Ordinance amendment authorized for advertising by the County Board at its October 15, 2016 meeting.

In order to provide opportunities for public input, certain elements of the proposed amendment are broad, and staff’s final recommendation for County Board consideration in December will be informed through the public outreach process.  The “community discussion” column in the table below includes an explanation of the areas in which the proposed amendment provides the best opportunities for continued discussion during the outreach process.

Element Proposed Recommendation for Advertisement Community Discussion
1 Zoning districts
  • Single-family residential (R)
  • Multiple-family residential (RA)
  • Commercial/mixed use (C)
The advertisement allows for consideration of further limiting the zoning districts where the use is allowed.
2 Accessory use Accessory homestay would be allowed only when it is accessory to a residential dwelling unit use classified in the Zoning Ordinance as Household living. The advertisement does not allow for continued discussion of this element.
3 Home occupation use Accessory homestay would be regulated as a home occupation, and subject to all the same provisions as other home occupations (with the exception of the amendments described in the previous section of this report), plus additional provisions that would be unique to accessory homestay. The advertisement does not allow for continued discussion of this element.
4 Signs No signs would be allowed for accessory homestay use. This is consistent with the existing prohibition on signs for all home occupations. The advertisement does not allow for continued discussion of this element.
5 Non-resident employees Non-resident employees would be prohibited from performing work on the premises for an accessory homestay. The proposed advertisement would, however, allow non-resident employees to perform work-related to normal home maintenance, such as repair and care of the residence or property, including yard maintenance and house cleaning. The advertisement does not allow for continued discussion of this element.
6 Area of dwelling unit used for accessory homestay No limit is proposed (accessory homestay could include overnight rental of an entire house or apartment). The advertisement allows for consideration of limits to the total area/percentage of the house or apartment that could be used for accessory homestay.
7 Parking The proposed amendment includes an option to consider requiring one off-street parking space for accessory homestay.

Additionally, the proposed amendment includes an option to consider allowing up to one additional off-street parking space to be created on the property (subject to all applicable regulations) for an accessory homestay. Other home occupations prohibit the creation of an additional parking space that did not exist at the time of application.

The advertisement allows for consideration of:
  • Requiring one parking space
  • Not requiring any parking spaces
  • Prohibiting the creation of new off-street spaces on a property with an accessory homestay
8 Owner-occupancy and primary residence Accessory homestay would be allowed only in dwelling units occupied by the owner of the unit as his/her primary residence, which would require that he/she live there for a minimum of 185-275 days of the year (a range is proposed to be advertised). The advertisement allows for consideration of defining primary residency as the owner of the dwelling unit occupying the unit anywhere between 185 and 270 days per year.

However, the advertisement does not allow for continued discussion of whether owner-occupancy is required.

9 Cap The proposed amendment would include an option for consideration to limit the number of dwelling units within any multiple-family building to the larger of either one unit, or 25% of the total number of dwelling units in the building.

Townhouses, duplexes, semidetached and two-family dwellings are not considered to be multiple-family buildings and thus would not be subject to the proposed cap.

The advertisement allows for consideration of either no cap, a smaller cap (fewer units) or a larger cap (more units).
10 Maximum number of guests An accessory homestay would be limited to a maximum of the greater of either:
  • Six overnight guests per night
  • Two overnight guests per night per number of bedrooms in the dwelling
The advertisement allows for consideration of limiting the provision to fewer guests.
11 Number of simultaneous contracts An accessory homestay would be limited to no more than one contract for any overnight stay (e.g. a contract may be for a party of six, but an accessory homestay host could not contract with six separate individuals under separate agreements on the same night). The advertisement does not allow for continued discussion of this element.
12 Accessory dwellings The proposed amendment would include an option to allow a dwelling unit with an approved accessory dwelling to be used for an accessory homestay, but the maximum number of guests for the accessory homestay would be reduced by the number of occupants of the accessory dwelling. Either the accessory dwelling or the main dwelling could be used for the accessory homestay. The advertisement allows:
  • Accessory homestay to either be allowed or prohibited in a dwelling with an accessory dwelling
  • The additional limitation on the number of overnight guests to be included or omitted
13 Family/caregiver suites The proposed amendment would allow a family/caregiver suite to be used for accessory homestay The advertisement allows for consideration of allowing or prohibiting use of a family/caregiver suite for accessory homestay.
14 Detached accessory buildings An accessory homestay would be allowed only within the main dwelling on the lot (which could include an approved attached accessory dwelling). Accessory buildings, garages or other structures on the lot could not be used for accessory homestay. The advertisement does not allow for continued discussion of this element.
15 Safety equipment The dwelling unit used for the accessory homestay would be required to have working smoke and carbon monoxide detectors and a working fire extinguisher accessible to all overnight guests of the accessory homestay. The advertisement does not allow for continued discussion of this element.
16 Building code All applicable requirements of the Virginia Uniform Statewide Building Code must be met as follows:
  • For the dwelling
  • Any sleeping room used for accessory homestay must have met the requirements for a sleeping room at hte time it was created or converted
  • The accessory homestay must be allowed under the building code for the subject dwelling
The advertisement does not allow for continued discussion of this element.
17 Food and beverages The owner (or his/her agent or contractor) could prepare or serve food or beverages to any overnight guests of the accessory homestay. The advertisement allows for consideration of prohibiting or allowing the preparation and serving of food and beverages to overnight guests.
18 Commercial meetings An accessory homestay could not be rented out for any other commercial use, such as parties, banquets, weddings, meetings, charitable fundraising, commercial or advertising activities or any other gatherings for direct or indirect compensation. The advertisement does not allow for continued discussion of this element.
19 Accessory homestay application The zoning application for an accessory homestay permit would require:
  • Contact information for either the owner of the dwelling or a responsible party, who is available 24 hours per day, 7 days a week, and who is located within 30 miles of the accessory homestay
  • Proof that the dwelling unit used for accessory homestay is occupied by the owner of the dwelling as his/her primary residence (as defined in this regulation, see item 2 in this table)

Additional application requirements, not proposed to be included in the Zoning Ordinance, are discussed later in this report.

The advertisement does not allow for continued discussion of this element.
20 Accessory homestay permit An accessory homestay permit would be required and would be issued by the Zoning Administrator upon approval of an accessory homestay application. The permit would:
  • Be valid for up to two years
  • Be required to be renewed by the owner of the dwelling upon expiration on his/her own recognizance
  • Require the owner and the responsible party (if not the owner) to agree to abide by all the requirements for the accessory homestay
  • Be conditioned to authorize the Zoning Administrator and his/her designee to enter the dwelling unit upon reasonable advance notice at least one time per year in order to verify that the accessory homestay is being operated in compliance with all regulations and all conditions of the permit

Additional permit requirements, not proposed to be included in the Zoning Ordinance, are discussed later in this report.

The advertisement allows for the consideration of the validity of the permit for a period of a maximum of two years.
21 Revocation of an accessory homestay permit An accessory homestay permit could be revoked by the Zoning Administrator as follows:
  • If there are three or more substantiated complaints about the accessory homestay within a one year period
  • For failure to comply with all requirements of the accessory homestay and conditions of the accessory homestay permit
  • For refusal to allow County inspectors to access the dwelling unit after reasonable advance notice, in order to ensure compliance with all requirements of the accessory homestay and conditions of the accessory homestay permit

If an accessory homestay permit is revoked, the applicant would not be eligible to receive a new accessory homestay permit for up to two years.

The advertisement allows for consideration of the revocation period before a new accessory homestay can be approved, for a maximum of two years.

 

Frequently Asked Questions

General Questions

What is a short-term residential rental? A short-term residential rental is proposed to be a home occupation in which an owner who occupies a dwelling unit as his/her primary residence, rents out that dwelling unit, or portion thereof, to a lodger. The lodger must compensate the host for the stay. No individual lodger may rent lodging in the same dwelling unit for more than 30 days in one year. The Zoning Ordinance would refer to short-term residential rental as “accessory homestay,” and would be added to the list of home occupations that are allowed within a residential dwelling by a person(s) who uses the dwelling unit as his/her principal residence.

What in the zoning ordinance precludes this use now? There are several provisions in the Zoning Ordinance that regulate what is allowed for each use. The Zoning Ordinance includes use tables articulating what uses are allowed in each zoning district; the Ordinance works such that if a use is not expressly permitted, that means it is prohibited.  With respect to residential uses, “dwelling unit” is defined by the Zoning Ordinance as a use allowed exclusively for residential occupancy.  The use classification system in the Zoning Ordinance classifies residential use under the “Household Living” category, which describes residential occupancy as use of a dwelling by a family, with tenancy arranged on a month-to month or longer basis; and articulates that uses where tenancy is arranged for a shorter period are not considered residential.  Residential units arranged for short term stays of less than 30 days for rent or lease are classified in the “overnight accommodations” category, and allowed only in buildings that are expressly approved for a hotel (which is allowed as a matter of right in some zoning districts, and requires special exception site plan approval by the County Board in other Zoning districts), or a bed & breakfast (which is allowed only in one-family zoning districts, and requires special exception use permit approval by the County Board).

How many properties in Arlington are currently doing this despite it being prohibited by zoning code? How many are in multi-family buildings? Staff does not have exact numbers or locations, as listing services do not make addresses available.  Data available on AirDNA (a site that compiles information from Airbnb) indicated that between August and September 2016, there were between 900-1600 listing in the County.  However, these data represent only one listing service, so it is possible that there are other properties listed on other services.

Why should the County regulate short term residential rentals? Why now? Recently, use of online residential, short-term rental platforms, such as Airbnb, Craigslist, and other services, have become more prevalent in Arlington and nationwide. Data collected in September 2016 from AirDNA shows that Arlington had 986 properties listed on Airbnb. However, the Arlington County Zoning Ordinance does not currently allow short-term residential rentals. The zoning office has received both questions about how to conduct this use legally, as well as complaints about existing short-term residential rentals. Zoning regulations governing short-term residential rentals will enable the County to address problems and concerns if they arise, and provide standards to allow the use in a manner that protects public health and safety and the character of residential neighborhoods.

The reason for considering an amendment now is that in 2016, the Virginia General Assembly considered legislation that would have precluded local governments from enforcing local zoning laws restricting the establishment of short-term residential rentals in any zoning district where residential uses are permitted. It would also have kept the identity of short-term rental properties hidden and precluded local governments from collecting and auditing Transient Occupancy Taxes, as they would for any other lodging property. A version of the legislation passed in the 2016 session, but the Governor referred it to the Virginia Housing Commission to study and create draft legislation for consideration in the 2017 session. The Virginia Housing Commission has created the Short-Term Rental Work Group for this purpose. By acting this year, Arlington will have an opportunity to potentially inform the legislation considered by the General Assembly in 2017.

Are commercial activities already allowed in residential districts? How are short term residential rentals different from the commercial activities already allowed? Residential zoning districts include single-family (R) districts and multiple-family (RA) districts. Only a limited number of commercial uses are allowed, and only in a limited capacity in residential zoning districts.

Home occupations are a limited commercial use allowed in all residential dwelling units in R, RA and in commercial/mixed use (C) districts. A home occupation is an accessory use that is allowed to be conducted in a dwelling unit used by a person as his/her principal residence.  Examples of home occupations include a home office/studio of an artist, author, contractor, craftsperson, repair workshop, etc.  Short-term residential rental is proposed to be regulated as a home occupation, and like home occupations, would be allowed as accessory to a person’s principal residency in the dwelling and subject to certain limitations.

In addition to home occupations, residential zoning districts also allow some principal commercial uses, subject to special exception use permit approval by the County Board:

  • Federal, state and local offices: allowed in R and RA districts
  • Bed and breakfasts: allowed in R districts only, subject to certain limitations.  There are no approved Bed and Breakfasts in the County, however, there is one proposed Bed and Breakfast scheduled for review by the County Board at its November 5, 2016 meeting.
  • Open-air markets, which include farmers’ markets and flea markets held periodically on a regular basis: allowed in R and RA districts, subject to certain limitations.
  • Medical and dental offices in R and RA districts, only when located in existing institutional buildings located on primary or secondary arterials; or in RA districts within existing multiple-family buildings, or in new buildings, only when such building retains the exterior appearance of a residential building

Are short-term residential rentals regulated in other places?  Short-term residential rentals are becoming an issue of interest in many local jurisdictions. As part of the process to develop the proposed regulations, staff reviewed adopted regulations in Virginia from Charlottesville, Roanoke and Botetourt County. Staff has also reviewed adopted regulations from Portland, Oregon; San Francisco, California; and Denver, Colorado.

Elements of the proposed amendment

What’s included in the proposed accessory homestay regulations? The proposed regulations could regulate the following (review the summary of the draft provisions or the proposed Zoning Ordinance amendment text for more information):

  • Accessory use. The use would be allowed only as accessory to residential use of a dwelling occupied by the owner of the dwelling as his/her primary residence;
  • Multifamily buildings. The regulations could include a cap on the maximum number of units allowed to be used for accessory homestay within an individual multifamily building;
  • Maximum number of lodgers. The regulations would limit the maximum number of lodgers allowed to be hosted on each night and would limit groups of lodgers to people renting under a single contract;
  • Area of dwelling. The regulations would address how much of the dwelling unit (all or partial) could be used for the accessory homestay.
  • Parking. The regulations could include a requirement for up to one parking space.
  • Safety equipment. Units used for accessory homestay would be required to have working smoke and carbon monoxide detectors and fire extinguishers accessible to all lodgers;
  • Building code requirements. Any unit used for accessory homestay would have to meet building code requirements for the use in that building, and any sleeping room used for accessory homestay would be required to have met the requirements for a sleeping room when it was created.
  • Food and beverage service. The regulations would address whether or not food and beverages could be served to lodgers.  The regulations would not, however, regulate use of the kitchen by lodgers.
  • Other commercial activities. The regulations would prohibit other commercial activities from being allowed under an accessory homestay permit.
  • Application and permit. The Zoning Administrator would issue an accessory  homestay permit upon approval of an application.
  • Revocation of permit. An accessory homestay permit could be revoked for failure of the host to comply with the regulations and permit conditions, or refusal to cooperate with a complaint investigation.

Is there any limit on the amount of space within our unit you can rent out? The proposed amendment does not limit the amount of space, however, the County Board could adopt limitations when it considers the amendment in December.  The proposed amendment does, however, limit the number of lodgers who can rent the unit on each night.

What is the difference between a tenant and a lodger under the proposed amendment? The Zoning Ordinance (through the use classification system) defines tenancy arranged on a month-to month or longer basis as residential occupancy; whereas uses where residential units are arranged for short-term stays of less than 30 days for rent or lease are classified in the “overnight accommodations” category, and allowed only in buildings that are expressly approved for a hotel (which is allowed as a matter of right in some zoning districts, and requires special exception site plan approval by the County Board in other Zoning districts; and is prohibited in other zoning districts), or a bed & breakfast (which is allowed only in one-family zoning districts, and requires special exception use permit approval by the County Board).  Under the proposed amendment, “lodger” would be a new term, and hosting a “lodger”, for compensation, would be allowed only under the accessory homestay provisions.

Public process and outreach

How can I weigh in? There are two more opportunities to provide your feedback:

  • The Planning Commission will hold a public hearing and make a recommendation on the proposed regulations at its meeting on November 30, 2016
  • The County Board will hold a public hearing and consider the proposed amendment at its meeting on December 10, 2016

What is the timeline for the regulations process? If adopted, when would the regulations become effective?

  • October 15 – November 29, 2016: Staff will be reaching out the public, to organized groups and to advisory groups and commissions to provide information and gather feedback about the proposed amendments.
  • November 30, 2016: The Planning Commission will consider the proposed amendments and make its recommendation to the County Board.
  • December 10, 2016: The County Board will consider the proposed amendments at its meeting on December 10, 2016.
  • December 31, 2016: Should the County Board adopt regulations for short-term residential rental (accessory homestay), they would become effective on December 31, 2016.

Enforcement and limitations through other laws or regulations

Will accessory homestay be allowed in multi-family buildings?  Yes.  In December, 2016, the Building Official had indicated that based on preliminary research, it was probable that the accessory homestay use would not be allowed in most existing multiple-family buildings in the County under the Virginia Uniform Statewide Building Code (Building Code). This initial determination was based on recent experience with an apartment building that had requested use of some units for long-term use as transient units (e.g. for use for stays of less than 30 days) by an entity who did not use the unit as a permanent residence. However, after further investigation, including discussions with other Building Officials around the state, the Building Official has determined that the Building Code for condominium and apartment use emphasizes that the primary use (more than 50% of the time) of units in these buildings is permanent residence, and this aligns with the recently adopted zoning requirements for short term rental.  Therefore, permits for accessory homestay in multiple-family buildings may be issued to applicants who meet all zoning requirements.

How will these regulations be enforced? Zoning inspectors would enforce the proposed use on a complaint basis. Should the proposed amendment be adopted, users of on-line residential rental hosting services will have defined standards to look to, which should increase compliance.

Will my condominium or homeowners association be able to govern these uses? Yes. The proposed Zoning regulations would continue to allow condominium and homeowner associations to have their own rules to prohibit or further limit short-term residential rental use, or to allow short-term residential rental use in a manner consistent with County regulations.

Application and fees

Will there be a fee for short-term residential rental (accessory homestay)? For an Accessory Homestay Permit, the filing fee is $63. The filing fee is paid at permit issuance, after review and approval is complete.

What will the application process include? An Accessory Homestay application would include the following requirements in addition to those proposed to be included in the Zoning Ordinance.

  • The owner would be required to notify abutting and across the street/hall (and immediately above and below if in a multiple-family buildings) neighbors, through a letter that includes a description of the accessory homestay operation; contact information for the owner and responsible party (if not the owner); and how the requirements are met.
  • The application is anticipated to require proof of the following:
    • Business license from the commissioner of the revenue (if applicable);
    • Payment of property taxes;
    • Valid certificate of occupancy for use as a dwelling unit (if applicable);
    • Certified mail receipts showing proof of delivery (signature of recipient is not required) of all notification letters described above;
    • Copy of evacuation plan that will be posted on the inside of the front door of the dwelling unit if it is in a multiple-family building

 

Background

In recent years, rental services in the online marketplace have become more prevalent in Arlington, and nationwide. In recent months leading up to the adoption of regulations, the zoning office had received both complaints about short-term residential rentals, and inquiries from residents looking for a legal path to host this type of use in their homes. The use of private homes for short-term residential rental was not previously permitted by the Zoning Ordinance.

The new use is defined as a home occupation called “accessory homestay,” and allows an owner to rent out his/her home for lodging purposes on a short-term basis. The purpose of the regulations is to:

  • Protect the character of Arlington’s neighborhoods;
  • Reduce barriers for those who are, or intend to, use their homes through online services for short-term rental (e.g. Airbnb, Craigslist, etc.) in a legal and responsible manner;
  • Implement safety requirements to ensure that a short-term residential rental property complies with zoning, building, fire and other safety codes that are designed to protect public health and safety, property values and neighborhood character; and
  • Provide a mechanism for enforcement of this type of use if problems arise.

The amendment does not preclude a condominium or homeowners’ association from establishing its own rules about allowing (consistent with County regulations), further restricting, or prohibiting this type of activity.

The review of this issue was prompted by the 2016 Virginia General Assembly’s consideration of legislation that would have precluded local governments from regulating this use, bringing state-wide attention to consideration of how short-term residential rental services are or should be regulated. It would also have kept the identity of short-term rental properties hidden and precluded local governments from collecting and auditing Transient Occupancy Taxes, as they would for any other lodging property. A version of the legislation passed in the 2016 session, but the Governor referred it to the Virginia Housing Commission to study and create draft legislation for consideration in the 2017 session. The Virginia Housing Commission created the Short-Term Rental Work Group for this purpose.

Meetings

Date/Time* Event and Materials
Sept. 27 County Board directs the County Manager to develop a proposed Zoning Ordinance amendment and community outreach plan
Oct. 15 Board approves a Request to Advertise for public hearings on a proposed Zoning Ordinance amendment
Request to Advertise Report
Staff presentation
Oct. 19 ZOCO (Zoning Committee of the Planning Commission)Memorandum
Oct. 27 Housing Commission Memorandum
Nov. 1 Civic Federation Memorandum
Nov. 2 Chamber of Commerce Memorandum
Nov. 2 Public Open House
Nov. 3 Virtual Q&A Transcript
Nov. 8 Economic Development Commission Presentation
Nov. 15 ZOCO (Zoning Committee of the Planning Commission)Presentation
Nov. 21 Transportation Commission Memorandum
Nov. 22 Commission on Aging
Nov. 30 Public hearing: Planning Commission consideration of proposed Zoning Ordinance amendment(coverage begins at 51:00)
Dec. 10 Public hearing: County Board consideration of proposed Zoning Ordinance amendment(coverage begins at 1:14:30)
Jan. 28, 2017 Public hearing: County Board consideration of proposed revisions to accessory homestay regulations(coverage begins at 1:01:30)

* All meeting dates are 2016