Airbnb

Nashville Airbnb Host Sues Metro Government After Permit Revocation

An Airbnb host who had her permit revoked after Metro Codes found that it errantly issued more than 100 to property owners who did not meet certain requirements for short-term rentals is now suing the Metro Nashville government, The Tennessean reports. The rule in question stipulates that residential property owners in two-family units must live in one of the units and own both properties in order to operate as a short-term rental. Barbara Culligan argues that the revocation "will cause irreparable harm, damage to goodwill, and harm for which money damage cannot fully and adequately compensate." Her attorney is seeking a temporary injunction to halt the cancellation.

read more »

Cameras Catch Airbnb Guests Illegally Entering Neighbor's Home

Four men illegally entered a woman's South Nashville home last Friday while she was cooking dinner for her young daughter, WKRN News reports. The men were staying at an Airbnb on 9th Circle South in Edgehill, where they hopped over a barrier separating the third-floor balconies of the properties, breaking into the house of Amy Allen. Allen was notified of the intrusion by her security system, which also filmed the ‘bnb’ burglars in action. Allen said she called the police and began looking through her surveillance video when she discovered that the guests from next door had been in her home previously and had stolen a bottle of alcohol.
 
Airbnb rentals remain a contentious topic in Nashville, leading the city to establish a designated hotline to field complaints about short-term rental properties. Since September 2017, Metro Codes has received 1,581 calls on the complaint hotline.

read more »

Senate Committee Votes to Overturn Local Short-term Rental Laws

A Senate committee voted to advance controversial Republican-backed legislation that would overturn a Nashville ordinance set to gradually eliminate certain types of short-term rentals, led by companies such as Airbnb, as well as similar prohibitions in other cities, including Knoxville, reports The Tennessean. The Senate Commerce and Labor Committee voted 7-2 to approve a now-revamped ‘Short Term Rental Unit Act’ introduced by Sen. John Stevens, R-Huntingdon, and Rep. Cameron Sexton, R-Crossville. If passed, the bill will block a Nashville ordinance passed in January to phase out most non-owner-occupied short-term rentals that currently exist in residential neighborhoods over the next three years, as well as a similar prohibition that passed last year in Knoxville. However, the bill allows local municipalities to still prohibit certain types of short-term rentals and require grandfathered short-term rentals to acquire permits. In addition, a local government could revoke a permit for a grandfathered unit if it violates standards on three separate occasions.
 
"Obviously, I'm pleased with the outcome," Stevens said after the bill passed in the committee. "I think it is a very difficult issue, but it's our property and it's a very personal issue. It's a distinction between the property rights and government, even if it is local government." Sen. Steve Dickerson, R-Nashville, who is not a member of the committee, spoke against the measure saying, "If there is a permit that is issued by a local government, there is a mechanism that they might revoke that permit.”
 
"It is my impression that (the amendment) is somewhat too restrictive," Dickerson said. "The bill makes it almost impossible to do that."
 
The Nashville Area Short-Term Rental Association urged approval of the bill in a letter to lawmakers. “We are regular folks working to make a living and want to contribute to our local and state economy,” the short-term rental association’s letter reads. “Please protect the property rights of all. Please vote to pass SB1086 with amendments.” Detractors contend that short-term renting has displaced longtime residents by attracting investors who don’t live in the homes they rent out. 
 
Twenty-seven cities in Tennessee have rules that don't allow non-owner-occupied short-term rentals in residential areas, including Knoxville, Brentwood, Germantown and Smyrna. Local officials say they are just following zoning laws that restrict businesses in residential areas. Some cities have gone further by outlawing all short-term rentals, including owner-occupied types. These include Davidson County's five satellite cities — Belle Meade, Berry Hill, Forest Hills, Goodlettsville and Oak Hill. You can track the legislation using this link.
read more »

Tennessee Department of Revenue Reaches Agreement with Airbnb

Airbnb recently struck a deal with the Tennessee Department of Revenue to collect and remit state and local taxes on behalf of its 7,700 hosts, according to the Nashville Business Journal. This arrangement has been used in other markets to address concerns regarding tax revenue from their short-term rentals not being on par with that of their hotel competitors. Tennessee joins neighboring states of Kentucky, Missouri, Alabama, Mississippi and Arkansas as areas with similar agreements. 
 
This news comes as Metro Council was scheduled to vote on BL-937, an ordinance amending Title 6 and sections 17.04.060, 17.08.030, 17.16.250 and 17.16.070 of the Metropolitan Code of Laws to add a new Chapter 6.83 pertaining to a short-term rental properties advisory committee and to establish regulations regarding short-term rental properties and distinct land uses for "Short-term rental property - Owner-Occupied" and "Short-term rental property - Not Owner-Occupied." The vote, however, was commuted to Jan. 23 because of inclement weather.
 
The company has long been a source of controversy in the area because of various concerns of taxation, noise complaints, even sparking First Amendment debates regarding anatomically correct sex dolls. In fact, problems with Airbnb rentals have become so numerous, Nashville Mayor Megan Barry established a devoted hotline tasked with aggregating and addressing these concerns.
 
The new statewide tax agreement, which will take effect March 1, is the second such deal Airbnb has struck in Tennessee, following an earlier agreement with Memphis. Airbnb has touted the agreements as a revenue generator and a reason for governments to work with — not against — the company.
 
read more »