VIRGINIA BEACH, Va. — A yearslong debate on short-term rentals drew another divided crowd to city council chambers Tuesday night. One side of the debate dressed in blue, the other in red.
Those at the meeting dressed in blue were pro-STR, meaning they defend responsible rental owners and their contributions to the tourism industry.
“Why do we need to change the rules of the game on short-term rentals when we haven’t even given it two years?," said Brandon Beavers with the Virginia Beach Short-Term Rental Alliance.
Since 2019, the regulations on owners who operate on platforms like Vrbo and Airbnb have become tighter.
“This is not even close to simple. It’s extremely complicated and becoming more costly," said Kendall Maynard with the Virginia Beach Short-Term Rental Alliance.
City council members Tuesday night approved more regulations for STR owners, including the addition of rental signage outside buildings, mandatory structural safety inspections every three years, as well as a two-year vacancy limit for “grandfathered” properties.
“It’s time to fix the problem, fix the [conditional-use permits] that are already there and hold the legal ones accountable," said Whitney Harding, a North End resident among those in red.
Those in red largely spoke against STRs in the North End area. They value neighborhood character and peace.
“STRs in residential neighborhoods raise different concerns and require closer scrutiny," said another concerned North End resident.
Perhaps the biggest change from the council is their partial reversal of a July vote.
New STR owners in the Oceanfront Resort overlay district are now allowed and able to apply for conditional-use permits.
A ban on new STRs remains in effect for every other district, like North End, satisfying the aforementioned residents' request to eliminate them from overlay.
*Note: City council members cannot vote on measures that affect Sandbridge, per state law.
“I, as an economist, believe competition is good for the marketplace," said Dr. Vinod Agarwal. The longtime Old Dominion University professor and deputy director of Dragas Center for Economic Analysis and Policy is part of a research team that has studied data related to STRs in Virginia and Hampton Roads since 2017.
Dr. Agarwal believes it should be an even playing field. And in his opinion, any homeowner in the city should be able to apply to become an STR if they want to.
“We need to make life easier for residents, not harder. Make regulations which make sense for every citizen, as long as they don’t impose cost on others. Keep things simple. Let the market play out," said Dr. Agarwal. A market, which he says, is here to stay.