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Multi-Family and Apartment Investing

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Alex Petrov
  • Real Estate Agent
  • Washington, DC
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Short term rental in apartment building

Alex Petrov
  • Real Estate Agent
  • Washington, DC
Posted Dec 26 2022, 20:07

Hello,

I have a 10-unit apartment building in Washington, DC, currently with long-term tenants.

I am considering converting the whole building to a short-term rental business model overtime in the next 2-3 years. By short-term rental business model, I mean no on-site staff, no food offerings, no daily housekeeping, and listed on the common short-term rental platforms. 
The building has a basic business license for a Bed and Breakfast. Because of the type of license, the building is not a rent-controlled building. 
Will the Bed and Breakfast license allow me to run the whole building with the short-term rental business model or this may be seen by the regulators as an avoidance of the short-term regulations and create issues?


I will appreciate any comments!

Thank you!

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Derick Bonsu
  • Investor
  • Washington, DC
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Derick Bonsu
  • Investor
  • Washington, DC
Replied Dec 26 2022, 20:54
Quote from @Alex Petrov:

Hello,

I have a 10-unit apartment building in Washington, DC, currently with long-term tenants.

I am considering converting the whole building to a short-term rental business model overtime in the next 2-3 years. By short-term rental business model, I mean no on-site staff, no food offerings, no daily housekeeping, and listed on the common short-term rental platforms. 
The building has a basic business license for a Bed and Breakfast. Because of the type of license, the building is not a rent-controlled building. 
Will the Bed and Breakfast license allow me to run the whole building with the short-term rental business model or this may be seen by the regulators as an avoidance of the short-term regulations and create issues?


I will appreciate any comments!

Thank you!

 I'm only familiar with DC's rules on primary homes but it does sound like you're trying to combine a hotel with a primary home Airbnb without following the rules for either. I'll definitely be interested in what you learn. Out of curiosity what part of the city is this building in?  

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Jack Seiden
Pro Member
  • Real Estate Agent
  • Washington DC
533
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Jack Seiden
Pro Member
  • Real Estate Agent
  • Washington DC
Replied Dec 26 2022, 21:25
Quote from @Alex Petrov:

Hello,

I have a 10-unit apartment building in Washington, DC, currently with long-term tenants.

I am considering converting the whole building to a short-term rental business model overtime in the next 2-3 years. By short-term rental business model, I mean no on-site staff, no food offerings, no daily housekeeping, and listed on the common short-term rental platforms. 
The building has a basic business license for a Bed and Breakfast. Because of the type of license, the building is not a rent-controlled building. 
Will the Bed and Breakfast license allow me to run the whole building with the short-term rental business model or this may be seen by the regulators as an avoidance of the short-term regulations and create issues?


I will appreciate any comments!

Thank you!

You could possibly depending on zoning convert to a “hotel” however you’d definitely need to meet hotel regulations. I’m almost certain converting a residential use to Airbnb without meeting hotel guidelines would be a zoning violation not to mention quite possibly an insurance issue.

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User Stats

8
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Alex Petrov
  • Real Estate Agent
  • Washington, DC
3
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8
Posts
Alex Petrov
  • Real Estate Agent
  • Washington, DC
Replied Dec 27 2022, 06:21
Quote from @Derick Bonsu:
Quote from @Alex Petrov:

Hello,

I have a 10-unit apartment building in Washington, DC, currently with long-term tenants.

I am considering converting the whole building to a short-term rental business model overtime in the next 2-3 years. By short-term rental business model, I mean no on-site staff, no food offerings, no daily housekeeping, and listed on the common short-term rental platforms. 
The building has a basic business license for a Bed and Breakfast. Because of the type of license, the building is not a rent-controlled building. 
Will the Bed and Breakfast license allow me to run the whole building with the short-term rental business model or this may be seen by the regulators as an avoidance of the short-term regulations and create issues?


I will appreciate any comments!

Thank you!

 I'm only familiar with DC's rules on primary homes but it does sound like you're trying to combine a hotel with a primary home Airbnb without following the rules for either. I'll definitely be interested in what you learn. Out of curiosity what part of the city is this building in?  
Thank you for your post!
The building is not a primary residence. It is located in NE.