South Orange to Examine Local Ordinances as It Monitors Impact of Airbnb

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We all know Airbnb. Founded in 2008, the San Francisco-based company has created an online marketplace that allows people to list or rent short-term lodging in residential properties.

While tourists love Airbnb, small towns and big cities alike have struggled to make it conform with local ordinances. Just yesterday, Airbnb said it was ready to comply with San Francisco’s requirement that all hosts register with the city after wrangling with local government for more than a year. Other cities have worked out deals to make Airbnb pay hotel & occupancy taxes.

And the issue is now coming home to roost in South Orange. Last night, Trustee Mark Rosner updated his fellow Trustees on his work researching the impact of Airbnb in South Orange — a town of just 16,000 residents.

Rosner noted that local residents using Airbnb to rent out rooms in their homes “violates a couple of ordinances,” including one prohibiting boarding houses. He asked, “Do we take it further to try to make sure it gets regulated and restricted or are current ordinances enough?”

Rosner said that the number of South Orange homes listed on Airbnb can vary day by day and that he has seen as many as 30 listed. “I imagine certain weekends or things trigger it,” said Rosner, suggesting that events like homecoming weekend at Seton Hall University might drive demand.

Rosner noted one instance where a local property owner was advertising his house as an inn with six rooms to rent.

Rosner said that the town has reached out to residents listing homes to let them know that they are in violation of local law. “Some have already taken them down,” said Rosner.

“We want to keep people safe, residents safe and the renters safe,” said Rosner, adding that he was also concerned about preserving the character of South Orange’s residential neighborhoods.

Village Administrator Barry Lewis noted that Airbnb “didn’t exist when we created the ordinances. We’re going to take a look and come back with code enforcement and the zoning officer with recommendations … and look at how other towns are treating this.”

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