‘Ghost hotel’ haunting some peeved neighbours
The accomodation system is changing, and some are worried about the consequences
They are sometimes called “ghost hotels,” these Airbnb-style rentals in neighbourhoods all over the city — “ghost” because there’s no front desk, no staff, often just a digital handshake with a nameless, absent owner.
And, as Tracy Penniston discovered, no one to turn to when trouble breaks out, or things go boo in the night.
“I hate being antagonistic about it, but it’s a big accident waiting to happen. It really is,” she said on a sun-dappled morning, of the sudden “hotel” over her waist-high fence.
“I think it’s scary.” Penniston lives on Daniel Avenue, in a quiet neighbourhood between Tunney’s Pasture and Island Park Drive, with her husband, Nick, and two young children.
About two years ago, the house directly behind her in the backyard (with a door on Keyworth Avenue) was extensively renovated. Neighbours were curious when the new owners never moved in.
Instead, the house showed up on “short-term” rental websites such as Airbnb, VRBO and HomeAway. A small hotel, in effect, had set up in a residential neighbourhood, with the house going for $220 a night, and entry gained via a keypad.
Twice in the past 10 months, massive parties have taken place that drew the attention of bylaw officers and, when fighting broke out, the police. In October, after cruisers showed up, the couple report, six partygoers hopped the fence and raced through their backyard out onto the street.
Penniston said a police officer told her several of the occupants were “known to police” for possible gang involvement. She hoped things would settle down, but next came a big party in June that appeared to be a grad blowout. It went on for two days, only broken up when four cruisers showed up to evict the guests near midnight.
“I moved the kids out of the bedroom. We’re fearful when these large groups of people move in.”
(Other neighbours report cars racing up and down the street, all-night noise, the odd punchup and crowds estimated at 50 to 70 or higher. The Champlain Park Community Association has lodged its concern.)
The city’s bylaw department is pretty clear on one point: The situation, as described, isn’t legal. “The short-term rental of an entire dwelling unit to one guest or set of guests constitutes a hotel under current definitions, and is not a permitted use in residential zoned areas of the City,” reads an email from bylaw director Roger Chapman.
(The exception are bed and breakfasts, where the owner is present.)
Owner Steve Moretti, who lives in Richmond, said Monday the disruptive parties are the last thing he wanted and added both he and Airbnb do some “screening ” on the prospective guests.
He said he, too, called police that weekend and he arrived on scene to deal with the disruption and damage.
He called the zoning issue “a grey area” and said no one from the city has ever contacted him directly to say there was a contravention. Though the house is booked short-term through August, he plans to only take longer-term renters in the fall, he said.
“We’re not happy about this either, believe me. It’s not fun for the other residents and it’s not good for us.” He welcomes a set of clearer regulations from the city. (After months of having no one to directly contact, he also provided neighbours with his cellphone number.)
Just as Uber disrupted the traditional taxi industry, the City of Ottawa knows a fundamental shift is underway in the tourist accommodation business. It has commissioned a $300,000 study that aims to better regulate short-term rentals in areas where zoning is traditionally a barrier. It expects the study to be completed in early 2019, with public consultations this fall.
There are currently in excess of 300 Ottawa properties on Airbnb, one of many holiday rental websites. The city reports it has had 48 complaints since 2016 about short-term rentals, usually focused on noise, parking or property standards.
Enforcement is tricky, however, because it’s “based upon evidence collected directly when an officer observes the activity.” (Experience tells us that calling bylaw or the police for noise or nuisance complaints — anything short of actual violence — does not elicit a rapid response.)
Airbnb, for one, says it welcomes regulation.
“Airbnb welcomes debate about the role of home sharing in Ottawa — in fact, we believe that municipalities should regulate our industry. We have been working with officials from the city as they review the current regulatory framework and look forward to continuing this cooperation,” replied spokesman Lindsey Scully.
Their website contains a “neighbour tool,” where issues can be brought to the attention of Airbnb offices. “Hosting is a big responsibility and those who fail to meet our standards and expectations will be subject to suspension or removal.”
A couple of city councillors told the Citizen they have an open mind about short-term rentals but understand the desire for municipal regulation.
In Lowertown and the ByWard Market area, the short-term rental of condos is both a problem for condo boards but also for Coun. Mathieu Fleury, who often gets complaints. There isn’t much current bylaws can do, he explained, because they mostly deal with things such as noise and property standards.
He doesn’t believe the answer is to ban them from geographic areas.
“I don’t think it’s about completely disallowing it anywhere and everywhere. I think it’s about putting the right types of tools around the licensing.”
Indeed, as Nick points out, is there even proper liability insurance for landlords who rent out continuously? Should the properties be taxed as commercial businesses? What of the myriad rules covering parking, in-house capacity, fire codes, safety inspections?
The city, revealingly, refuses to say how many charges it has laid for a short-term rental infraction. Maybe because zero is not a big number?
There’s a new style of hotel in town, all right. And it’s full of surprises.
I moved the kids out of the bedroom. We’re fearful when these large groups of people move in.