Thinking of Renting Out Your Place on Airbnb? That May Not Be a Good Idea if You Live in L.A.

Premises zoned residential, such as R1, R2 and R3, in the City of Los Angeles should not be rented through Airbnb or similar services.  

Current zoning laws in the City of Los Angeles prohibit short-term rentals in residential zones, such as R1, R2 and R3.  Residential zones given the “R” designation are intended to provide a quiet living environment, free of commercial, business and industrial activities.  Operation of residential premises as a hotel, hostel, bed and breakfast, or similar commercial enterprise is not permitted under an R1, R2 or R3 designation.  See L.A.M.C., Ch. I, Art. 2, §§ 12.03, 12.08, 12.09, 12.10.  The Los Angeles Municipal Code lists allowed uses of these residential designations.  Notably missing from the permitted uses is the use of residential premises as a hotel, hostel, bed and breakfast, or similar commercial enterprise

While some may argue the law is not clear simply because the LAMC fails to expressly prohibit Airbnb use, readers should note that, by and large, the LAMC was written years before Airbnb came about.  Nevertheless, the LAMC does not list Airbnb, hotel, hostel, bed and breakfast, or similar commercial enterprise as permissible uses of property zoned residential R1, R2 and R3.

Even the Airbnb website states: “Zoning Laws. The Los Angeles Municipal Code contains zoning rules that you should review. In particular, Article II, Section 12.30, defines terms such as “bed and breakfast,” “hotel,” and “boarding or rooming house,” which may be applicable to you.”

Currently, the City of Los Angeles, through its Planning Commission, is looking to enact local laws governing Airbnb rentals.  http://www.latimes.com/local/lanow/la-me-ln-airbnb-rentals-20160623-snap-story.html, http://www.laweekly.com/news/la-is-poised-to-enact-strict-airbnb-regulations-7056105

Similarly, you may be in clear violation of your lease or your CC&Rs if you rent out your residential property through Airbnb or similar services.  For example, your lease or CC&Rs may contain the following provisions or something similar:

1.      Preamble – Covenant to use the premises solely as a private residence.

2.      Section  – Covenant to limit guest stays to no more than 14 days cumulative during any 12-month period and covenant not to exceed 4 additional occupants.

3.      Section  – Covenant not to cause or allow (1) any noise or activity on the premises that disturbs the peace and quiet of another resident or (2) any noise or activity over 90 decibels to emit from the premises from 10:00 p.m. to 7:00 a.m.

4.      Section  – Covenant not to exceed 5 adults and maximum of 6 total occupants.

Based on these provisions, you could be in violation of your lease and/or CC&Rs as well as the LAMC if you if you rent out your residential property through Airbnb or similar services.