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Fines of $1,000 a day coming for AirBnB operators sidestepping strata regulations

A man walks out of the 15-storey Era condominium tower in downtown Victoria. Situated on a former City of Victoria transient-zoned block, the Era became synonymous with AirBnB rentals and rising real-estate values where re-sale pricing reflects an 'AirBnB factor.'  Citified.ca

Fines of $1,000 a day coming for AirBnB operators sidestepping strata regulations
MIKE KOZAKOWSKI, CITIFIED.CA

New strata bylaw regulations slated for introduction this fall will hand British Columbia's strata corporations an additional tool to combat unlicensed short-term vacation rentals.

Come December, strata corporations will have the ability to fine short-term rental operators $1,000 per day for contravening a building's bylaws regarding the use of residential units as vacation rentals.

The existing fine is limited to $200 per week.

Popularized by websites such as AirBnB and VRBO, short-term vacation rentals have grown in popularity throughout the world as travellers forgo the costs and limitations of traditional hotels in favour of renting fully-stocked residences or saving lodging costs by renting a room within a home.

However, housing advocates argue the propensity of full-suite vacation rentals in residential units that would otherwise be lived in by a local resident have fuelled the province's housing struggles, particularly in Metro Vancouver and Greater Victoria.

In response to the propensity of AirBnB operations and to make more full-time residences available to local residents, several jurisdictions in British Columbia have taken steps to regulate the industry through licensing and monitoring. 

Last year the City of Victoria moved to oversee vacation rental operators by requiring business licenses. Under the licensing regime, only suites within what was known as transient-zoning can qualify for a $1,500 annual license, while outside of formerly transient-zoned areas operators can rent a maximum of two rooms within their primary residence. The licensing fee for a shared dwelling is $150 per year and limits the rental of the entire dwelling to periods when the owner-occupant is away on vacation.

The City of Victoria created transient zoning throughout much of the downtown core and parts of Victoria West in the run-up to the 1994 Commonwealth Games. At the time officials feared insufficient lodging was available for spectators of the games and for the region's summer tourists. The propensity of short-term vacation rentals following the 1994 games was an unforeseen trend.

12 of 13 municipalities within Greater Victoria do not currently regulate short-term vacation rentals. Despite the City of Victoria's efforts, there have been no measurable changes to the City's low apartment vacancy rate. C

  
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