Private Home Rentals Through Airbnb Website Called “Major Problem” for City

The nationwide trend to rent out homes through a site called Airbnb has spread throughout Pasadena and local residents told the Rose Bowl Operating Committee Wednesday night the result has disrupted neighborhoods.

With over one hundred listings in Pasadena, Airbnb homeowners are advertising their proximity to several local event venues, including the Rose Bowl. [Editor — See here for current listings.]

For Linda Vista Neighborhood Association President Nina Chomsky Airbnb presents a “major problem” in the city.

“I’ve had sleepless night after sleepless night over this,” Chomsky said.

Councilmember Victor Gordo voiced concerns about the issues of land use and fair competition that Airbnb presents during the Rose Bowl Operating Committee meeting on Wednesday.

While most hotels and bed and breakfasts in the city are highly regulated through zoning codes and city regulations, the online booking system generally bypasses those laws. Gordo said commercial uses like short-term rentals should not be allowed in residential neighborhoods.

“This model of the sharing economy has found something of a loophole,” Gordo said. “We want an equal playing field in our local economy. The sharing economy is exciting in many ways, but new territory for us to look at from a policy perspective, a fair competition perspective and a financial perspective that make sense in our city.”

Airbnb is currently not subject to Pasadena’s transient occupancy tax per guest per night that is paid to the city by hotels and similar businesses.

Chomsky urges the City Council to move quickly to create a proactive ordinance similar to Santa Monica’s.

Santa Monica recently passed a law that bans vacation rentals – rentals of 30 days or less where the primary occupant of the home or apartment is not present, but allows home sharing according to the Los Angeles Times. Home-sharing includes renting a couch or room and is subject to the 14 % occupancy tax in addition to obtaining a business license. The city has added three enforcement officers.

With the pending music and arts festival in the Rose Bowl, Chomsky said the number of home rentals would increase. She has noticed a trend of increased bookings close to events such as the upcoming soccer match in August.

“They will soon start signing people up to stay for this music festival even though we don’t know when it is or what it is. People want to make money on their party houses,” Chomsky said. “I know you think we are so chichi in Linda Vista we just don’t think about that…wrong.”

According to Chomsky, often as many as 30 people will rent one house, unsupervised by the homeowner, noisily jumping in the pool and staying up late, keeping neighbors awake.

Out of the 1,333 homes in Linda Vista, Chomsky said 10 homes were listed on Airbnb including one professional Airbnb home that acts exclusively as a rental home for the site.

“In Linda Vista? Good Lord,” board member Fred Claire said when he heard the news.

Newest RBOC member Steve Haderlein said, “You have a problem with a local hotel, the first step would be to call them. My understanding is Airbnb is not adversarial.”

Several board members echoed the concerns about Airbnb, asking that Mayor Tornek is already aware that the RBOC would like to see the issue come before City Council soon.