Home  Who We Are
10 Myths About Vacation Rentals APA Zoning News What can we do?


SONHawai'i
Save Oahu's Neighborhoods Hawai`i
                                            

               

Short-term vacation rentals, growing at an alarming rate island-wide, threatens the character of our neighborhoods.  An upsurge in such rentals (fueled by Hawaii’s real estate market boom) has adversely and increasingly impacted Oahu’s neighborhoods in the last few years.  Oahu’s coastal Neighborhood Boards--including Kailua, Lanikai, Waimanalo, North Shore, Kahaluu, Waialae-Kahala,  The Waianae Coast--have strongly taken opposition (with members in most cases voting unanimously) against legalizing short-term vacation rentals that are currently operating illegally.

Why SONHawai`i?  Why Now?

Oahu's coastline neighborhoods are under siege from illegal hotel-like operations in their midst.  The growing transient population these businesses bring has already caused the deterioration of our residential lifestyle, as well as more traffic, parking problems, noise, crime, escalating property tax values and the loss of community.

The general public has the impression of a B&B as an elderly person renting out a room in an old house--making just enought to get by.  The truth is that short-term vacation rental owners may be investors or even a mainland business hui.  Even if someone needed additional income from their home, they should first look at legal alternatives such as long-term rentals, which would help the housing shortage.

And yet the Honolulu City Council wants to open all of Oahu's residential areas to the industry--thereby taking even more homes and rooms off the residential market--by legalizing additional bed-and-breakfast homes (B&B's).


What about enforcement?

Under the Land Use Ordinace (LUO), the City Department of Planning and Permitting (DPP) is responsible for enforcement against illegal short-term rentals.  Due to a variety of problems--including political interference from the previous Harris administration, under-staffing, working hours, and the departmental enforcement policies--the DPP has not been able to project the image of an effective agency.  This led to a scourge of illegal rentals, to which the City Council was ready to give in to and attempt better regulations.  But under new leadership and vision, the DPP has again become active and enforement is increasing.




What is the City Council proposing now?

In July 2005, the City Council passed two resolutions:  Resolution 05-186 and Resolution 05-187.  Both are currently under review by the DPP.

 1)  Resolution 05-186 will allow advertising regulations against unlicensed TVUs.  It proposes that advertising vacation rentals without a permit number be illegal in itself.  It also calls for heftier fines for offenders.  SONHawaii supports  05-186.

2)  Resolution 05-187 repeals the 1989 ban on B&B's.  This bill will encourage immediate island-wide mass permitting and will so overload the DPP with new business and regulatory tasks that its effectiveness will be crippled.  SONHawaii opposes 05-187.

These two resolutions have been approved by the full Council and are now under review by the DPP, which is  examining the proposals before forwarding them to the Planning Commission, which may recommend action.  If recommended, the amendments will then be sent back to the Council for a full round of three Council and two Committee hearings.


City and County of Honolulu Neighborhood Board Resolutions

SONHawai`i and other community groups have actively fought to reclaim our neighborhoods, gaining momentum with Oahu's coastal neighborhood boards, who have voted (unanimously in most cases) against legalizing vacation rentals that are currently operating illegally, and calling for stepped up enforcement.    





These neighborhood board resolutions cleary reflect the "will of the people" --people who are highly impacted by illegal vacation rental operations.  While these resolutions add much-needed gravity to this issue, much more has to be done.

We must provide the political will and catalyst for enforcement--primarily from the City administration and council.  Political will is created by educating people--people who in turn will advise their elected representives on how to act.  This can only be accomplished by educating the public about the severe nature of the problem and how it ultimately impacts us all.
















Brief History

A quick background on short-termcation rentals reveals two types:  Bed and Breakfasts (B&B’s) and Transient Vacation Units (TVU’s), both of which entail the provision of lodging to transient occupants for less than 30 days, in return for compensation.

A Bed and Breakfast (B&B) home is a detached dwelling (but not an apartment unit) where the owner or operator occupies the same dwelling as the transient occupants.

A Transient Vacation Unit (TVU) is a dwelling or lodging unit where the operator or owner is absent from the premises at the time of rental.  TVU’s are the source of most complaints in residential neighborhoods.

In 1989, when the number of B&B's and TVU's rose significantly and a deluge of neighborhood complaints could no longer be ignored, the City and County of Honolulu banned the operation of any new short-term rentals in residentially zoned districts.  Meanwhile, the City “grandfathered” those that had been operating illegally--approximately 160 B&B's and hundreds of TVU's--by issuing them Nonconforming Use Certificates (NUC's).

All B&B's must have a NUC to operate legally.  TVU's need a NUC to operate in residential areas; however, they do not require a NUC if they are in areas zoned "Resort" or "Resort Mixed Use".

According to the City Department of Planning and Permitting (DPP), there are currently 60 island-wide B&B’s and 942 TVU’s with NUC's (most of which are operating in Waikiki).  A recent  Hawaii Tourism Authority (HTA) Accommodation Study estimated 102 B&B’s and 1821 TVU’s short-term rental operations overall.  These numbers are dramatically higher than the number of NUC's issued by the DPP.  Yet, it is clear to observers and neighbors that the number of illegal short-term rentals--especially along Oahu's coastline--far exceeds the HTA estimates.  This is furter evidenced by blatant advertising on the Internet and elsewhere.  It is easy to surmise that an overwhelming number of these business ventures are without a NUC (since none have been issued in 15 years), in essence operating illegally.



For more information on why these are detrimental to our neighborhoods and how to determine if a rental property is a legal B&B or TVU, please visit this website:

BnB Coalition

____________________________________________

Other Informative Links to Recent Articles:

American Planning Association - Zoning News - Short-Term Vacation Rentals: Residential or Commercial Use?

Honolulu Advertiser - Vacation rentals hurt affordable housing - Feb.  2006

Honolulu Advertiser - Vacation rental operators cited - Nov. 2005

Honolulu Advertiser - O‘ahu group targeting B&Bs - Sept. 2005

Honolulu Advertiser - No more rampant tourism - Aug. 2005

Honolulu Star-Bulletin - Council advances limits on vacation rentals - Jul. 2005

Honolulu Star-Bulletin - Candidates address Windward concerns - Aug. 2004

Honolulu Star-Bulletin - Illegal vacation rentals make tight market worse - May 2005



What Oahu's communities want: 

Honolulu Advertiser - Property Taxes. Vacation Rentals Are Putting on the Squeeze - December 2005

Honolulu Advertiser - Questionable study left out important facts on transients - November 2005

Honolulu Advertiser - COMMUNITIES ARE CLEAR: WE DON'T WANT VACATION RENTALS - October 2005

Honolulu Advertiser - Vacation rentals are not 'manageable' - November 2005

Honolulu Star-Bulletin - City should crack down on illegal rentals - October 2005

Honolulu Advertiser - Public policy already exists against residential B&B - June 2005

Honolulu Star-Bulletin - Bed & breakfasts hurt law-abiding residents - June 26, 2005

Honolulu Star-Bulletin - State, counties, should rein in black market B&Bs - March 2005






SONHawai`i
Save Oahu's Neighborhoods
P.O. Box 88131 - Honolulu, HI 96830
E-mail: sonhawaii@hawaii.rr.com
www.sonhawaii.org

Back To Top       Next Page       Home