already licensed, the City can use the status of their licence as a compliance resource including a possible licence hearing with the Windsor Licensing Commission. In cases of unlicensed non-compliance, charges and fines can be levied as well as refusal to license should these homeowners choose to follow the licensing requirements in the future.
Recent Developments
As a result of the global CoVid-19 Pandemic, a number of STR Platforms have reported significant decreases in the use of these types of rentals. Many of the larger companies, including airbnb, have been forced to implement significant layoffs and other cost-cutting measures in hopes of avoiding more drastic measures. Travel has been greatly impacted worldwide and it is unclear when any type of travel for pleasure for tourism purposes will return to normal.
What is clear is that when travel does return, the changes it will undergo will not be temporary or short-lived. Studies done by STR platforms in recent months have shown travellers to be wary of international travel and are more likely to choose ‘staycations’ or stay closer to home when planning upcoming vacations. Other surveys conducted have indicated that travellers are more likely to choose hotel accommodations at this time with the belief of higher standards of cleanliness being enforced, whether that is the case or not. The instability of the industry and the amount of unknowns in regards to future travel should be taken into consideration when determining a regulatory regime.
Risk Analysis:
There is risk involved in maintaining the status quo, primarily related to the rental of dedicated STRs (e.g. where the host does not live on-site). Currently unregulated within Windsor—there are a number of dedicated STRs operating. The rental of these dwellings on a short-term basis potentially removes a monthly rental unit from the housing supply. According to the Canadian Mortgage and Housing Corporation, the rental vacancy rate in October of 2019 was 2.8%. Criticism of STRs argues that the rental stock is adversely affected by those participating in the STR market as more homes or apartments are rented for short term rather than long term tenancies. This may limit the supply of available rental housing, which may increase the cost of housing.
Administration also heard from residents that STRs can exacerbate safety and nuisance concerns within residential neighbourhoods. This includes a wide range of issues such as increased traffic, parking, noise, and dirty yard concerns. Concerns were also voiced regarding ‘ghost hotels’, or homes in vibrant neighbourhoods being used as hotels, with no or limited presence of the property owner or monthly tenant, resulting in constant revolving occupancy. The LPAT decision from the City of Toronto reinforces this concern as it found that dedicated STRs functions more like a commercial use (e.g. hotel) than a residential use.