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Measure C Palm Springs Short Term Rentals

Measure C Palm Springs Special Election – June 5th, 2018.

Measure C Palm Springs

Measure C Palm Springs, if passed, would phase out short-term rentals of less than 28 days per stay in single family neighborhoods. Home sharing, long-term and seasonal rentals of 28 or more days, and where the HOA allows STR’s, would still be allowed in the city.

On February 21, 2018, the Palm springs City Council adopted Resolution No. 24381 which calls for a special election to be held on June 5, 2018 for the purpose of letting the voters decide whether to phase out short-term vacation rentals in single family homes within the city.

Measure C is the culmination of a battle that’s been brewing for more than a decade between homeowners and investors who have turned vacation rentals in single family home neighborhoods into big business.

After the housing-market crash in 2008; some homeowners who were struggling to keep their homes turned to short-term vacation rentals as a way to keep their home. When the great recession dragged on for what seemed like forever, many homeowners couldn’t continue to pay their mortgages and those homes were either sold as short sales or bank foreclosures. With homes selling at cents on the dollar, investors saw an opportunity to buy nice homes at a huge discount and turn them into money-making enterprises with vacation rentals. And the STR boom in Palm Springs was born.

Accommodation and Food Services, (Tourism), is the number one industry in Palm Springs, employing over 3,000 people and generating over $7.5 million in transient occupancy taxes, (TOT’s) that go into the city’s coffers for community services and STR enforcement.

Measure C is a hot topic and high stakes game; pitting some homeowners whobelieve their quality of life and property values have been negatively impacted by short-term rentals in their neighborhoods vs those who oppose the ban. The newly formed coalition named, We Love Palm Springs, includes the Hospitality Association, Chamber of Commerce, and vacation home owners backed by corporate giants such as Expedia, HomeAway and Air B and B to name a few.

Opponents to Measure C believe banning STR’s in Palm Springs would have a majornegative economic impact on the city and the services the city would be able to provide if Tourists move their business to friendlier cities. The group has vowed to bring their mighty resources to bear if the measure is passed, fighting it in court if necessary.

Whether you support or oppose Measure C, June 5th could be a turning point for the city and is one special election worth watching.