Your Guide to Permitting an Airbnb in Arroyo Grande
- Tiana
- Aug 3, 2024
- 3 min read
Updated: Aug 5, 2024
If you’re considering turning your Arroyo abode into a short-term rental, you’re in the right place. Navigating the permitting process in San Luis Obispo County can be confusing. Don’t worry—I’m here to clear the fog and make sure you’re all set to welcome guests.
Vacation Rentals vs. Homestays: What's the Difference?
In Arroyo Grande, we’ve got two flavors of short-term rentals: Vacation Rentals and Homestays. Here’s a quick rundown:
Vacation Rental: This is a property rented out for less than 30 days where the owner isn’t living there. Think of it as a standalone retreat for your guests.
Homestay: This is a home where the owner lives on-site but rents out up to two rooms. It’s a bit more intimate, offering a local touch.
For this guide, we'll focus on vacation rentals—those charming getaways where guests can experience Arroyo Grande like a local, without the owner in sight.
Permitting 101: What You Need to Know
To start your journey, you’ll need a couple of permits and a sprinkle of patience. Let’s break it down:
1. Minor Use Permit – Plot Plan Review
This is your golden ticket to worry-free hosting. Here’s how to secure it:
Gather Your Documents:
Payment: Check the City’s Master Fee Schedule for the current fee (as of 2023-24, it’s $780).
Site Plan: A map showing your property and its surroundings.
Floor Plan: Layout of your home.
Emergency Contact: Someone within a 15-minute drive who can handle any issues that arise.
Mailing Labels: Addresses for all properties within 300 feet of yours.
Apply Online: Head to the City’s Permit Portal, select “Plot Plan Review” under Planning Permits, and upload your documents.
2. Business License
In addition to the Minor Use Permit, you’ll need a business license. Here’s how to get it:
Fill Out the Application: Available on the City’s website or at City Hall.
Pay the Fee: Refer to the City’s business license page for the fee details.
Standards: Playing by the Rules
Follow these, and you’ll be golden:
Contact Person: You must have someone available 24/7 within a 15-minute drive to handle complaints. If they’re unresponsive, it could spell trouble.
Neighborhood Compatibility: Your property should fit in with the local vibe—think landscaping, scale, and architecture.
Building and Fire Codes: Ensure your property meets all safety regulations.
Environmental Health: Adhere to all relevant health regulations.
Parking: Provide two off-street parking spaces for guests.
Occupancy Limits: No more than two people per bedroom plus two additional guests.
No On-Site Advertising: Keep it classy and avoid promoting your rental on the property itself.
Transient Occupancy Tax (TOT): Pay this as required by the city.
Is your home even eligible? What you need to know before you start:
Proximity Limits: You can’t open a vacation rental within 500 feet of another short-term rental or a school.
Cap on Rentals: As of October 2022, there’s a cap of 90 vacation rentals in the city. If you’re looking to apply, you might end up on a waiting list if the cap is reached.
Application and Appeal Process
Application Approval: The Community Development Director is your go-to for approving Minor Use Permits. Once approved, the City will send out postcards to neighbors with your contact details.
Appeals: If there’s a hiccup in the approval process, you have 10 days to file an appeal from the date of approval.
Revocation and Compliance
Stay on top of these to avoid any headaches:
Revocation: Multiple citations or unresponsiveness can lead to permit revocation.
TOT Remittance: Failure to pay the minimum TOT may trigger revocation.
Need More Info?
For any questions or if you need clarification, reach out to the Community Development Department at (805) 473-5420. They’re there to help guide you through the process.
Helpful Links:
Final Thoughts
Turning your Arroyo Grande property into a short-term rental can be a rewarding adventure. By following these guidelines and staying informed, you’ll be well on your way! You may have to embrace patience if you end up on a waitlist.
Feel free to reach out if you need any more tips or have questions about the process. And, of course--if you're looking for someone to manage and do everything for you, I'd be thrilled to help! 🌊🏡
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