Property Rights. Sharing Economy. INTERIM. TREND. Local Short Term Rental Rules from the Midwest.

Which city passed new short term rental rules? Chicago

What was said the councilmembers? 

  • This is about a new economy.
  • Chicago is racing to keep up with new economic drivers.
  • “This is the ‘Jetsons.’ We’re not going back to the ‘Flintstones,'”- Alderman Moreno

How are the new regulations described? “Dizzyingly complex”

What are 5 regulatory highlights?

  • Different types of residences are regulated differently
    • a building with 5 residences, only 1 can be used for short term rental at a time
    • larger buildings are capped at 6 or 25% of the units, whichever is smaller
  • Precinct by precinct initiative and referendum permited to allow an alderman to amend the local code for the precinct
    • local areas can choose to either:
      • outlaw new listings
      • allow new listings only in the “primary residences” 
  • 4% tax to fund homeless services
  • $60 ad fee for each online posting of a short term rental
  • $10,000 local license for the short term rental hosting service

Chicago Tribune | Airbnb rules easily pass Chicago City Council despite vocal opposition

 

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