Short Term Rental and Bed & Breakfast Review

The City of Nanaimo is currently reviewing its Zoning and Business License regulations as they relate to short term rentals and bed and breakfast (B&B) accommodation. Short term rentals refers to the rental of a room or an entire residential dwelling unit on a temporary basis (i.e., less than 30 days) often through an online platform such as Airbnb, HomeAway or Vacation Rentals By Owner (VRBO) . 

This work is a direct recommendation of the Affordable Housing Strategy (AHS). The review will also address requests from hotel operators to require licensing for B&B’s, and to respond to gaps in the City’s existing regulations that do not address the potential social and economic impacts of short term rental accommodation. The intention of the project is to determine if bylaw changes are required to address short term rentals in Nanaimo and as required to make recommendations to Council for bylaw changes.

Thank you to those residents, property owners, business owners and short term rental and B&B operators who attended the November 21st Open House at the Departure Bay Kin Hut. The information provided will be immensely valuable as the City moves forward in the assessment of zoning and business license regulations for short term accommodation. The Open House panels displayed at the event are available for viewing under the Documents tab. If you wish to receive more information regarding the Short Term Rental review, please email socialplanning@nanaimo.ca

Our thanks to all that completed the Short Term Rental survey. Your feedback is greatly appreciated. They survey is now closed.

  • Progress

    Project Timeline

    Step

    Action

    Timeline

    1

    Determine # of STRs in Nanaimo

    October

    2

    Determine % of tourists who stay at STRS

    October

    3

    Contact B&B operators

    November

    4

    Meet with Tourism Nanaimo/VI

    October

    5

    Meet with Hotel Operators

    November

    6

    Develop list of frequent STR operators in Nanaimo

    November

    7

    Survey

    November

    8

    Neighbourhood Network

    October

    9

    Open House- Kin Hut Departure Bay

    November 21st 5pm to 7pm.

    November

    10

    Update zoning / BL bylaw if necessary based on feedback

    November/ December

    11

    Inform interested stakeholders, including open house attendees, neighbourhood associations and interested survey respondents of proposed regulations.

     

    12

    Feedback Review and revise

    December

    13

    Draft Council Report and Final Bylaw(s)

    December/ January

    14

    Council

    January

    15

    Public Hearing- exact date to be determined

    February

    16

    Bylaw Adoption

    February

     

  • Documents
  • Details
  • Background

    Short Term Rentals in Nanaimo

    The Affordable Housing Discussion Paper, which provided the research to support the Affordable Housing Strategy’s policy recommendations, found that there were 416 homes or rooms advertised for short-term rental in Nanaimo towards the end of 2017.  More recent, 2018 Air DNA statistics indicate up to 620 short-term rental listings in Nanaimo.  Over two-thirds of those listings were for an entire home, with the remainder listed as private room rentals.  Eight-six percent of entire home listings were rented for less than half a year, 61 percent for less than 90 nights a year.

    Tourism Nanaimo’s Summer 2017 profile reported that ten percent of Nanaimo visitors who stayed overnight stayed in a vacation rental or guest house.  The average length of stay is 5.1 days.  A profile for 2018 and 2019 have not yet been completed.  Nanaimo’s current rental vacancy rate of 2.4% (November 2018) is well below the 5% threshold indicator of a healthy rental housing market. This demonstrates that there is a continued need for more long-term rental housing in Nanaimo

    Bed and Breakfast

    Section 16.6 of the Zoning Bylaw defines a Bed and Breakfast as the “partial use of a single residential dwelling for transient tourist accommodation in which rooms are rented on a short term basis, and may include the provision of breakfast served on the premises.” This definition specifically excludes the rental of accommodation to one party for more than 14 days. Bed and breakfast facilities may be established in any single residential dwelling, as long as the dwelling is a permitted use and the operator lives in the dwelling unit. There is a limit on the number of guests and rooms permitted, depending on the zoning of the property.  Bed and Breakfasts do not currently require a business license in the City of Nanaimo.

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