Operating a Short-Term Rental in Kelowna, BC.

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****CHANGES SINCE THIS BLOG WAS WRITTEN HAVE BEEN MADE AND WILL AFFECT OUR CITY SHORT-TERM RENTALS PROCEDURES MOVING FORWARD, please visit my new blog if you are considering a short-term rental property Short-Term Rental Legislation Changes – Nicole McWilliams Real Estate (nmcrealestate.ca)****

So, you’ve decided the short-term rental business is for you, huh? You’ve seen friends and family taking part in the lucrative side-hustle and now it’s your turn to take a shot at it. The only problem is, you have no idea where to start. Worst yet, you’ve seen the webpage link to the City of Kelowna rentals, but it had you breaking out in hot sweats the second you saw the Operators Guide. Fret no more, I’m here to help. But please, check the date of this blog post and make sure there are no updated articles before you move on. Our city is changing STR rules and regulations faster than Kim K. is getting new husbands.

Can I Operate a Short-Term Rental in Kelowna?

The quick answer is YES, you can operate a short-term rental in Kelowna. The more advanced answer is “AS LONG AS YOU MEET THE CRITERIA”.

Now, what is this criterion I speak of? Simply put, it’s the “City of Kelowna’s Short-Term Rental” rules, regulations and qualifications that you must pass before you can become an Operator.

You can rent your principal residence for stays of less than 30 days in many residential and mixed-use commercial areas, and your non-principal residence in select areas of the city.

What is a principal residence?

A principal residence is where a property owner or tenant lives 8 months out of the year.

Eligibility Requirements

  • The rental must be located in your principal residence if in a residential or mixed-use commercial zone.
  • Renting a non-principal residence is allowed in select commercial and tourist areas. In this case, the short-term
    rental operator may not be a corporation or society. Contact information for the designated person responsible for overseeing the unit must also be provided upon application and posted within the accommodation.
  • Short-term rentals are not allowed in secondary suites or carriage houses.
  • Obtain permission from your landlord, if applicable.
  • Ensure your strata bylaws allow short-term rentals, if applicable.
  • Parking must be available as per Section 8.1 of the Zoning Bylaw.
  • Annually renew your short-term rental business licence.
  • It is also recommended that you confirm your insurance policy allows for short-term rentals.

What zoning in town allows me to operate a short-term rental?

A1, A2, RR1, RR2, RU1, RU2, RU3, RU4, RU5, MF1, MF2, MF3, C1, C2, CA1, VC1, UC1, UC2, UC3, UC4, UC5, HD2, CD17, CD18, CD20, CD22, CD26

What areas of Kelowna can I run a short-term rental without it being my principal residence?

In the Operators Guide on Page 7, you will find a table. On this table there are three headings.

H1: Principal Use

  • 3699, 3700, 3800 Capozzi Road – “Aqua”

H2: Principal Use With 6 Month Restriction – The properties listed can be used for short-term purposes but must be occupied long-term for 6 months of the year.

  • 1088 Sunset Drive: Discovery Bay Resort
  • 1128 Sunset Drive: Sunset Waterfront Resort
  • 1075 Sunset Drive: Waterscapes Skye Tower
  • 1083 Sunset Drive: Waterscapes: The Herons 1
  • 1089 Sunset Drive: Waterscapes: Osprey 1
  • 1093 Sunset Drive: Waterscapes: Osprey 2
  • 1099 Sunset Drive: Waterscapes: Herons 2
  • 1123 Sunset Drive: Waterscapes Townhome
  • 1129 Sunset Drive: Waterscapes Townhome
  • 1129 Sunset Drive: Waterscapes Townhome
  • 1133 Sunset Drive: Waterscapes Townhome
  • 1139 Sunset Drive: Waterscapes Townhome

H3: Principal Use, Permitted Non-Conforming. This means that a property can be used for short-term rental use. Here are the complexes and addresses that the “City of Kelowna” does allow for investors to operate short-term rentals without using the property as a principal residence:

  • 1873-1875 Country Club Drive – “Pinnacle Pointe”
  • 654 Cook Road – “Playa Del Sol”
  • 1350 St. Paul Street – “Sole Downtown”
  • 1290 St. Paul Street – “Sole Kelowna”
  • 1215 St. Paul Street – “St. Paul”
  • 1471 St. Paul Street – “The Brooklyn”
  • 1585 Abbott Street – “Caravelle by the Lake”
  • 3477 -3499 Lakeshore Road – “The Shore”
  • 925 Leon Ave – “Cambridge House”
  • 1083 KLO Road – “Sole KLO”
  • 3880 Truswell Road – “Mission Shores”
  • CD18/Area / Village Centre – “McKinley Beach Resort”
  • 3398 McKinley Beach Lane – “The Beach House”
  • 3475 Granite Close – “Granite at McKinley Beach”
  • 3434 McKinley Beach Drive – “Granite III at McKinley Beach”

To receive a business license, you must meet specified requirements and confirm that you have also met building and fire safety standards, parking requirements and good neighbour responsibilities.

Does it cost anything to be a short-term rental operator in Kelowna?

Yes. A short-term rental operator has costs associated with being a host in Kelowna, BC. A short-term operator has to pay an annual fee for a business license.

  • An application fee of $25.00 must be paid at the time the application is submitted.
  • Annual renewal fees are due as soon as the application is approved. Failure to pay the fee will result in immediate cancellation of the licence.
    • Annual Fee for Principal Residences: $345.00
    • Annual Fee for Non-Principal Residences: $750.00

Are there Parking Requirements for short-term rentals in Kelowna?

A short-term rental operator must submit a plan to the City of Kelowna that includes a parking plan that outlines and labels each parking stall to show that the property can support a short-term rental. Visitor Parking in a strata complex cannot be submitted as a parking stall designated to the unit.

Fire and Safety Requirements

Your short-term rental accommodation must have appropriate safety measures in place to protect guests in the
event of an emergency.

  • Provide contact information for someone that can respond to issues at all times.
  • Post a fire and safety evacuation plan in every sleeping area and on all appropriate exits.
  • Install an accessible, working fire extinguisher on each floor.
  • Maintain and test annually all smoke alarms, fire extinguishers, and carbon-monoxide detectors.

For more information about the Operator’s Guide and the process visit: ‘The City of Kelowna’ website for short-term rental operators. The City is constantly amending short-term rental bylaws and it is important to keep up to date.

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Speaking to a professional about the city bylaws for short-term rentals is essential. Please always verify the accuracy of this information through your own due diligence. Nicole McWilliams will assume no responsibility or liability for the accuracy of the information within.

I would love to be your Real Estate Agent of Choice!

EVERYONE needs a home to live in. That is why I continue to be confident in the Canadian Real Estate Market. I recommend taking a peek at our current listings on the market.

Do not hesitate to contact me directly by email or phone to discuss all your real estate needs!

Warm Wishes;

Nicole McWilliams
Sage Executive Group Real Estate
250.808.3125 | nicolemcwilliamsproperties@gmail.com

nmcrealestate.ca

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