STR Permit denied after chg of ordinance??

STR Permit denied after chg of ordinance??

Waco, TX · Member since 2016 · 16 posts · 3 votes
I'm somewhat baffled! I bought a property & decided it was perfect for a STR. At the time, no ordinance was in place that prohibited my doing so. I set up VRBO acct & started renting it VERY successfully. City manager contacted me & said I should apply for a special use permit to make sure all my I's were dotted & T's crossed. So I applied. In the meantime, one of my neighbors is on the City council & got wind of it. He filed an official complaint against me "running a business" without a permit. Mind you, I'm not inside of a subdivision, have no deed restrictions that apply, I'm in an R-1 zoning area & I have 16 acres of private land that sits along a private lake that I own 1/2 of. Was breaking no laws & was issued a citation for what this neighbor claims was a "business". I don't live in this home but it's VERY popular from being on a Renovation Tv show. His claim was that because I had 5 cars in front of my house & people were photographed carrying fishing poles & a raft, that I must be breaking the law. Long story short, after 3 different council meetings, the city developed a new ordinance that covers STR's & voted it in this week. At the same meeting the council attempted to vote on my permit but it was a tie vote! So does that really mean I lost or does it provide for me another council meeting? The council member, who's my neighbor & made ridiculous accusations about me having a conspiracy with the city manager, wasn't allowed to vote because it was a conflict. The mayor voted for it as did 2 other members but it's in deadlock now! The city manger made a statement to the Tv & paper that without a permit, the new ordinance prohibits me from using my house as an STR (I do not live in this home) so they say I'm going to need to cancel my bookings & cant rent it out any longer!!?! I just can't believe how this is possible from so many angles. The only thing that effected the vote was the emotional blackmail that this mob of neighbors threw at the council & their threats to not vote them back into office. They stood only on the grounds that they didn't want for the neighborhood (which I'm not in) but my land is at the end of their street. The roughly 10 couples who are hostile towards me & the rental, thought it would make their taxes go up & they didn't want their quiet neighborhood commercialized. Really?? I'm charging $1200 per night for these VERY well traveled guests to stay. I would be paying taxes to city for these stays & the money they spend locally would make you choke! So now they added Improving your property values is a bad thing?? Any advise would be GREATLY appreciated!!
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Real Estate Professional · West Palm Beach, FL · Member since 2012 · 23k+ posts · 13k+ votes
9y

Lawyer time....a local, well connected, part of the good ole boy network, land use type lawyer.

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  • Real Estate Professional · West Palm Beach, FL · Member since 2012 · 23k+ posts · 13k+ votes
    9y

    Lawyer time....a local, well connected, part of the good ole boy network, land use type lawyer.

  • Buy & Hold Owner · Redlands, CA · Member since 2015 · 5k+ posts · 2k+ votes
    9y

    STR is a real historic problem due to bad guests and heavy traffic. You appear to be doing all the right things to be a good community citizen, but the neighbors are reacting out of fear.

    Plead your case at the council meeting re previous notoriety aka the rehab show and that will subside (assuming you don't capitalize on it via adverts) naturally.

    Assuming you rent to one guest at time, the car issue will go away too.

    SO; the issue imo should quickly turn to a new business in the community, zoning and minimizing social disturbance.

  • Los Angeles, CA · Member since 2016 · 565 posts · 391 votes
    9y

    Has happened dozens of times here in Cali.

    You need help from str lobbying associations. Airbnb can help you find the local ones if not google. 

    Neighbors are just jealous. 

    Your arguments should be economic : direct tax for the city and indirect income for the retail business in the city thanks to the development of tourism. 

    Research the battles in the cities of Anaheim and Newport Beach for more insight. 

    And of course you may have a legal case since they let you invest and build that business that they are breaking.

    Good luck!

  • Rental Property Investor · Malvern, PA · Member since 2016 · 1k+ posts · 936 votes
    9y

    I have Pennsylvania zoning experience, this might not apply.  Good prior advice: Lawyer up.

    What does the new STR ordinance require you to do and are you doing it?

    In PA, a pre-existing use will be grandfathered in which would mean you might not need to comply with the new ordinance if you can show you were operating legally prior to the issuance of the new ordinance.

    Ask your municipality (mayor, city manager, board, etc) what a tie means means?  If it was a budget vote, for example, the budget probably doesn't pass.  This is different.  The municipality needs to approve your request or deny it for a specific reason, such as not following a specific ordinance requirement.  In PA, failure to do so within a specified period of time means a default decision of "Approved."

    Once you are denied, if that is the case, the local courts open to you as an avenue of appeal.  This is where in particular you will want to lawyer up.  Politics are out (or should be).  The court will decide your case only in the context of the governing law.  Your neighbors could register as parties to the case, but really can't interfere just because they don't like what you are doing.  This might also be the right approach for a tie vote in which the municipality can't state what a tie means.  Such a lack of explanation is probably good news for you as courts often decide such matters in favor of residents.

    Keep in mind this is a PA perspective.  TX might be a little different.

    Jim.

  • Waco, TX · Member since 2016 · 16 posts · 3 votes
    9y
    Thanks to ea of you. I have a lawyer who was present at all meetings. We were under the impression that the members were supportive & agreed with my position so neither of us prepared to rebut. I'm breaking no portion of the old or new ordinance. The new ordinance allows for a permit to be denied if it caused significant challenges or issues with the neighbors. This is 100% subjective so it's hard to articulate how to defend the fact that they simply don't like it & don't want it nearby. The biggest issue was traffic & strangers driving down the road. Unfortunately this can't & wont be resolved by denying my permit because the community already knows where this popular home is located so the traffic & unknown people driving down a public street will continue either way. Guests at my location typically have 2-3 cars which is less than my family would have if we were living there every day as opposed to only having guests over an occasional weekend. I do feel the grandfathering clause may be significant because there is an existing bed & breakfast operating without a permit. It has been in business for 16 years & actually is in violation of the old ordinance & still not required to apply for a permit as i was asked to do. So it's wrong on so many levels. Plus I didn't mention that I'm a divorced mom of 3 kids. Seems like I'm targeted personally & verbally attacked by these neighbors, most of which are 65+ year old men. They have all but accused me of inappropriate relationship with the city Manager & have gotten Tv & newspapers foaming at the mouth to keep this center stage. Seems unlikely they would be so cruel & unwavering in their position if I were a man their age.
  • Real Estate Agent · Buena Park, CA · Member since 2016 · 743 posts · 424 votes
    9y

    The argument is should our neighborhoods nationwide be used for commercial hotel operations with the potential traffic and constant strangers coming in and out of the properties.The courts will begin ruling on these lawsuits soon and the appeals process could take a decade before the Supreme Court is forced to make a final decision.Here in Anaheim,the constant stream of loud Disneyland tourists coming in at all hours of the night waking up the neighbors was too much to have to deal with on a daily basis.300 STR home's are being forced to convert to long term or traditional rental properties for local working people.

  • Los Angeles, CA · Member since 2016 · 565 posts · 391 votes
    9y

    Fight them Kristi. Bring up the loss of business and their liabilities there.

    Anaheim, the city, is going to have to deal with hundreds of lawsuits. And landlords are going to win. But for Anaheim Disney is behind the ordinance and Disney will end up paying for the damages. But in your case, I think the neighbors are going to be into it. Sue those neighbors directly after summons, since they are the cause for your potential (or actual) loss.

  • Waco, TX · Member since 2016 · 16 posts · 3 votes
    9y
    Thanks to all for the valuable insight!
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