Members of the Beverly Hills Cultural Heritage Commission submitted recommendations regarding an exemption for owners of single-family homes designated as historic landmarks that would allow those owners to offer short-term rentals on their properties.
The discussion, which took place at the Commission’s Sept. 3 meeting, came at the request of the City Council, which on July 1 voted to ban all short-term rentals in the city with a potential carve-out for owners of single-family landmark properties.
At that time, the council heard from Deborah Blum, who owns such a home and said she utilizes income from renting her guest house as a way to keep up with the required maintenance of landmark properties. Blum said that while the exemption would be good for her family, it would also be “beneficial for the city … historic preservation drives tourism and economic growth.”
The council instructed the Cultural Heritage Commission to take up the issue and provide input to the Planning Commission.
At their Sept. 3 meeting, the Cultural Heritage Commission heard a staff report with a draft ordinance that would allow for the exemption.
Under the ordinance, owners of landmark single-family homes would be permitted to rent a guest house, accessory dwelling unit (ADU) or “other permitted habitable space” on a short-term basis. Rentals would need need to be a minimum of two consecutive nights, and the property owner would be required to be present in the main residence during the stay.
Property owners would also be required to apply for a business tax license and pay transient occupancy taxes.
There are currently 18 single-family landmark properties in the city, and according to the staff report, 16 appear to have an ADU or similar structure.
Blum, whose house was built in 1913, spoke during the public comment period on Sept. 3.
“I am grateful that this commission recognizes what not everyone appreciates,” she said, “that these landmarks reflect the magic of Hollywood’s Golden Age and represent a heritage that enriches our community and attracts visitors from around the world … the income from our guest house rental has been essential in allowing us to maintain and preserve this historic property in an independent and financially sustainable manner, ensuring its continued contribution to Beverly Hills its architectural and cultural legacy.”
Better Neighbors LA, a coalition of tenants, housing advocates and community members, wrote to the commission to oppose the exemption.
“The Beverly Hills City Council recently adopted an amended short-term rental ordinance that prohibits [short-term rentals] in all residential units, establishes a one-year minimum lease requirement and creates a penalty schedule that sets fines to the maximum extent allowed under state law,” their message stated. “Introducing a new ordinance that permits [short-term rentals] in historic landmark homes would undermine this progress by creating a loophole that weakens enforcement and compromises the ordinance intended protections.”
The commissioners spoke largely in favor of the exemption, however most wanted stricter regulations.
Commissioner Marc Teren noted that historic landmark properties are “very expensive to maintain,” but expressed concern over the fairness of the exemption. Teren suggested mandating either a higher number of minimum days the property could be rented per stay along with a maximum number of times it could be rented per year, or a mandate that the property could only be rented for 30 days at a time.
“My recommendation would be a minimum stay of at least five days and a maximum of two stays a month, 24 times a year … if I live next to a landmark property that has an ADU, and I have an ADU and I can’t rent mine, I’m not very happy about that,” he said.
Commissioner Alan Robert Block said that Beverly Hills wants more property owners to designate their homes as landmark properties, and this exemption is a way to encourage them to do so.
“I don’t see anything wrong with adding an additional incentive of … allowing a short-term rental,” he said.
The Cultural Heritage Commission’s recommendations will be sent to the Planning Commission, which will address the issue at its Sept. 11 meeting.
