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
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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
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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
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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 ,
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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