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HomeMy WebLinkAboutSS2 - Fractional Homeownership Update - PowerPointFractional Homeownership Updat*.- City Council Study Session September 13, 2022 Seimone Jurjis, CDD Director David Blumenthal, Planning Consultant September 13, 2022 Item No. SS2 pet O n c\,FOV7% ackground November 16, 2021-City Council Study Session Directed staff to study what other cities are doing with and report back Sagecrest Planning+Environmental Report Report Findings Beverly Hills, CA Carlsbad, CA Carmel by the Sea, CA Encinitas, CA Fort Lauderdale, FL Hermosa Beach, CA Indian Wei Is, CA Monterey, CA Napa, CA Village of North Haven, NY Oceanside, CA Pacific Grnve, CA Palm Desert, CA Palm Springs, CA Park City, UT Santa Barbara, CA Santa Crux, CA South Lake Tahoe, CA Sonoma, CA St. Helena, CA Truckee, CA Vail, CO .2 E g E P 3 cc L C i C y � p V V W Q +� E 3 Report Findings 22 Cities Surveyed • 13 Cities - Consider a form of timeshare • Carlsbad, Carmel by the Sea, Hermosa Beach, County of Monterey, Village of North Haven, Pacific Grove, Palm Desert, Palm Springs, Park City, South Lake Tahoe, Sonoma, St. Helena, Truckee • 7 Cities - Do not regulate Encinitas, Vail, Fort Lauderdale, Santa Cruz, Napa Indian Wells, Santa Barbara, • 4 Cities - Revised definition of timeshare • Palm Desert, Truckee, St. Helena, Sonoma Report Findings 9 4 Cities — Issued Cease and Desist Letters Carmel by the Sea, County of Monterey, Palm Springs, South Lake Tahoe • 3 Citie.,.. — Working on code update to timeshare Hermosa Beach, Pacific Grove, Park City • 1 City - Current moratorium to study Beverley Hills (expiring July 2023) " City - Active litigation St. Helena I I Known Properties in City , � •w• � - � 2 � 2 ~ ® \ , ¥p - # � , ,7 PARK _ ' !1 2 ` / �s y >V , Concerns - Loss of housing and damage to neighborhood character Classifies fractional housing as timeshare Updated code Broaden timeshare definition Right of occupancy < Full year Limits timeshares to commercial zones Bolsters enforcement authority Modeled after short-term rental ordinance Current litigation - Ownership group and Pacaso filed suit against City Plaintiff's Claim City ordinance invalid (pending) Enforcement violates plaintiff's due process —14t" Amendment (pending) City is selectively and discriminatorily enforcing regulations (pending) Enforcement exceeds City's authority (pending) City interfering with economic advantage (dismissed) StudiAmw-w- - Palm Springs, CA Concerns include Traffic Noise Loss of neighborhood character Classified as timeshare Permitted in zones which permit hotels Require approval of a CUP Cease -and -Desist Order Proceeding with code enforcement actions on existing unpermitted units City, UT Updating code to allow and regulate Tentative City Council hearing —October 6, 2022 Creating new definition -Single-Family Dwelling Fractional Ownership/Use Property owned by LC, LLC, or corporation Owner occupancy right < 30 days at a time Unrelated co -owners Advanced reservations via electronic systems Management subscription fee Case Studies - Park City, UT Locations Allowed • Commercial Zoning Districts • Residential Development - Medium Density • Same zones where Timeshares and Private Residential Clubs allowed Prohibited locations • Historic, Single -Family, and Estate Zoning Districts Fractional Ownership , Farb City IiMds zordN T Allowed Not Alk wed Suddlwalons City, UT Require approval of a CUP Require management plan Responsible party— return call within 20 minutes and within one hour drive of property Snow removal for access and parking Maintain property Noise and occupancy control Prohibit nightly rentals, on -street parking, commercial activities, and signs Business license Questions and Discussion City Council Study Session September 13, 2022 Seimone Jurjis, CDD Director sjurjis@newportbeachca.gov David Blumenthal, Planning Consultant dblumenthal@sagecrestplanning.com