LA Tightens Airbnb Rules: Permits Required for Operators

Sync Brokerage | 12/07/2023

Landlords renting out Airbnb properties in Los Angeles now face new obligations, mandating their reportage to local police stations.

Recent legislation approved by the L.A. City Council dictates that short-term rental hosts, including Airbnb operators and hoteliers, must secure a police permit. Proponents, led by Council President Paul Krekorian, assert that this permit mandate will enable the city to address issues like disruptive party houses and rental properties linked to criminal activities.

While this measure aims to bolster community safety, it also introduces more administrative hurdles for short-term rental and hotel operators. It grants the City Council and local neighborhoods the ability to contest permit approvals.

Various enterprises, such as car valet services, antique shops, and bowling alleys, already require police permits for their operations in the city. These permits often necessitate criminal background checks and fees amounting to hundreds of dollars.

According to a recent report from the Los Angeles Police Department, the proposed initial fees for short-term rental operators might be around $260. However, Krekorian indicated that these fees are not finalized, expressing hope for a streamlined background check process that doesn't involve fingerprinting.

Krekorian's goal is to ensure that obtaining a police permit is a relatively straightforward and routine procedure, barring complaints from any concerned parties.

As per the Planning Department, there are currently 6,725 short-term rental units listed within the city. Under the new law, the police permit would be granted to the operator overseeing the short-term rental unit.

During a council committee hearing, several Airbnb hosts expressed concerns about the proposal's requirements. They found the mandate for a police permit excessive and voiced objections to undergoing fingerprint-based criminal background checks, alongside questioning the permit costs.

Amid these discussions, Airbnb refrained from commenting on the proposal. Meanwhile, the Hotel Association of Los Angeles expressed uncertainty about how many of its 600 members hold police permits and voiced reservations about the new requirement.

Moreover, questions were raised regarding whether the LAPD has adequate staff to manage the added workload of issuing permits.

This police permit regulation forms part of a comprehensive set of rules targeting new hotels, a compromise between the city and a hotel workers union. The regulations include a stricter approval process for new hotels and a requirement for developers to replace demolished homes with new residential units or renovated existing ones.


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