Edmonton hotels rally for stricter short‑term rental regulations

These proposed changes are aimed at introducing more rigorous regulations for short-term rentals, with the goal of addressing the housing crisis and ensuring a level playing field for all accommodation providers.

The AHLA has been consistently urging the City of Edmonton to create a regulatory framework that safeguards residents’ interests and ensures a fair marketplace for all accommodation providers. The original concept of home sharing promoted by online platforms like Airbnb and VRBO has been distorted by speculators who have taken single-family houses and condominiums out of the long-term housing inventory. 

Instead of being used to house people who live and work in Edmonton, these homes are being rented out on a nightly basis to create wealth by renting residential homes and condominiums on a commercial basis. The growth of the short-term rental industry has contributed to:

• A loss of long-term affordable housing stock.

• The rise in rental rates.

• Disruption, property damage and criminal activity such as human trafficking in neighbourhoods and condominium buildings.

• A housing shortage exacerbates Alberta’s workforce challenges, especially in the tourism sector.

• Lost tax revenues for all orders of government.

“Hotels are not afraid of competition and do not wish to regulate homeowners who occasionally rent a room in their own home. But true home-sharing occurs in the owner’s principal residence. What started as home-sharing has created a new class of investment, converting residential units into ghost hotels, evading the normal costs of doing business and creating additional demands on municipal resources like police, waste removal and bylaw enforcement. Taxpaying Edmontonians are in fact subsidizing these businesses, who pay residential property taxes on their commercial enterprises,” says Tracy Douglas-Blowers, president & CEO

While platforms like Airbnb and VRBO argue that short-term rentals help people afford homes, it’s important to recognize that these platforms are multi-billion-dollar corporations that benefit themselves and real estate investors at the expense of homeowners. They’ve contributed to the depletion of residential housing stock and the artificial inflation of house and rental prices.

AHLA recommends the City of Edmonton implement the following requirements:

• Principal Residence Requirement: Limit short-term rentals to homeowners living on the property, discouraging property speculation.

• Platform Accountability: Hold platforms accountable for ensuring hosts comply with local regulations.

• Data Sharing: Create a data-sharing framework to monitor the short-term rental market’s impact on housing supply.