Coastal Commission Staff Reverses Course on Major Pacifica STR Restrictions
Staff Reversal is a Great Sign for STRs as a Linchpin of Coastal Access
There is an encouraging development this week for short-term rental owners in California’s coastal communities.
California Coastal Commission staff has changed its position on Pacifica’s proposed new short-term rental regulations and is now recommending modifications that would eliminate two of the ordinance’s most significant restrictions in the Coastal Zone: a requirement that an STR be the operator’s primary residence and a 60-night annual limit on unhosted rentals. The Coastal Commission is scheduled to consider the issue tomorrow, August 12. (HMB Review)
The change is particularly notable because earlier this year Coastal Commission staff had recommended approving Pacifica’s ordinance as submitted. Even then, however, staff described the proposed restrictions as among the most severe in California’s Coastal Zone. Staff estimated that the combination of the primary-residence requirement and 60-night limit could reduce the potential availability of unhosted STR nights by nearly 85 percent. Staff also found little evidence that the restrictions would actually produce additional long-term housing, particularly affordable housing.
The earlier staff analysis also recognized an important principle under the Coastal Act: short-term rentals can provide an important source of visitor accommodations in coastal communities, particularly for families and groups, and restrictions on STRs must be balanced against California’s policies protecting public access and visitor-serving opportunities along the coast.
Why This Matters in Newport Beach
The vast majority of Newport Beach’s permitted short-term rentals are located within the Coastal Zone. That means the Coastal Commission’s continuing approach to STR regulation is directly relevant whenever significant new restrictions affecting those properties are considered.
The Pacifica case does not mean the Coastal Commission would automatically oppose new STR regulations in Newport Beach. Every Local Coastal Program and community is evaluated on its own facts, and Pacifica’s circumstances are different from ours.
But this latest staff recommendation is nevertheless a good sign. It suggests Coastal Commission staff is taking seriously the need to balance local regulation with coastal access and the role STRs play in providing overnight accommodations — and is willing to push back when proposed restrictions go too far.
NBSTRA will be monitoring tomorrow’s Coastal Commission hearing closely. We will report back to members on what the Commission ultimately decides and what, if anything, the Pacifica decision may mean for Newport Beach.