Monday, June 22, 2009

Multi-Family Property Rights at Risk

For a little over a year, the City of Miami Beach Commission and Planning Board have been deliberating the terms of rental agreements. It seems the Planning Director, for a reason unknown to the public, issued an Interpretation of the zoning code stating that because the tax code levies resort taxes on rentals of less than six months these rentals are considered "hotel use" and since hotels are not permitted in low-density residential districts landlords and tenants are prohibited from entering into contracts for less than six months.

The interpretation was deemed "arbitrary and... not enforceable" by the City's Special Master in a July 2008 decision. Additionally, the Special Master ruled "to impose a greater than 6 month requirement for rentals of apartments... is clearly not within the authority of the Director."

Therefore, the City has put forward ordinances to "clarify" the code.
  1. No rentals less than six months - this ordinance would "codify" the Director's Interpretation which would prohibit tenants from renting apartments/condos for less than six months.
  2. No rentals less than one week - this ordinance would prohibit rentals of less than one week. If rentals are for less than six months the property and property owner are subject to many restrictions and regulations.
The Planning Board will have its third public hearing on this issue Tuesday June 23rd at 1:30 in the Commission Chambers (3rd Floor, City Hall, 1700 Convention Center Drive, Miami Beach, FL).

This hearing and deliberation will focus on the neighborhoods where weekly rentals would be permitted.

To read the staff report which outlines the City's position and recommendations to the Board and to read the ordinance click File 1925 Short term rental of apartment units or townhomes.

The staff report segments neighborhoods by percentage of properties homesteaded and proximity to commercial districts and suggests that these factors be considered in determining whether a neighborhood should be zoned to allow weekly rentals.

If you own and/or rent multi-family property, we suggest you:
  1. View the staff report for the City's recommendation regarding your neighborhood,
  2. Attend the hearing or
  3. Contact the Planning Board
gappel@taxadjusters.net; jon@frydproperties.com; dveitia@urbanresource.com; henrystolar@bellsouth.net; rweisburd@apmanagement.net; fksobe@bellsouth.net; information@jskarchitecturalgroup.com;
A petition is also available on the Flamingo Park Homeowners Association web site.

At previous hearings, long-term residents spoke-out against allowing weekly rentals for fear that "transients" would "destroy the neighborhood".

If you do not speak out for your rights the City will forfeit them for you.

2 comments:

Anonymous said...

they want to make laws about renting apartment now? what, if you rent apartment for 3 months, will they throw you in jail for 6 months? is this a communist country? another reason to move to europe, if only it was warm there.

Anonymous said...

I thinks it's rediculous that a property owner that pays thousands $ in property taxes not be able to rent their property short-term. If the city wants to prevent homeowners from renting short-term than they should reduce their property taxes substantially or cover a portion of it. This will not happen, but just a though.

Must be the hotel industry that pushed the City of Miami Beach to enforce these ordinances.

Why doesn't the city just charge a transient tax on short-term rentals and call it day. This would even the playing field.

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We are a grass-roots coalition of property owners dedicated to protecting the rights of property owners in Miami Beach, Florida. If your property rights are being threatened we want to hear from you. This website is intended for informational purposes only, reflects various opinions of our members, and is not intended as legal advice. Do not rely on the opinions or information stated herein as legal advice.