(a) All short term rentals shall be licensed by the Division of Revenue and subject to the regulations of Section 13 of the Code of Ordinances.
(b) Number of Dwelling Units allowed to be utilized as Short Term Rentals per Property:
Zones Allowed | Hosted (Occupancy up to 12) | Hosted (Occupancy >12) | Un-Hosted | # of Short Term Rental Units |
R-1A, R-1B, R-1C, R-1D, R-1E, R-1T | Accessory Use | Conditional Use | Conditional Use | Hosted: 1 dwelling unit and 1 ADU Un-Hosted: 1 dwelling unit or 1 ADU |
R-2, R-3, R-4, R-5, EAR-1, EAR-2, EAR-3 | Accessory Use | Conditional Use | Conditional Use | For Single Family Lots: Hosted: 1 dwelling unit and 1 ADU Un-Hosted: 1 dwelling unit or 1 ADU For Multi-Family and Group Residential Lots: 10% max or 1, whichever is greater |
B-1, P-1, MU-1, MU-2, MU-3 | Accessory Use | Accessory Use | Principal Use | 25% max. |
B-2, B-2A, B-2B, B-4*, I-1*, I-2*, CC, B-6P, MU-3* | Principal Use | Principal Use | Principal Use | No max. |
*When part of an Adaptive Reuse Project, Industrial Reuse Project, or Entertainment Mixed Use Project
(c) Maximum Occupancy Limit (for accessory uses in residential zones): A maximum of two (2) individuals per bedroom, plus an additional four (4) individuals; or a total of 12 individuals, whichever is less. Any host or other permanent residents of the dwelling unit present during the short-term rental period shall count toward the maximum occupancy. Occupancy for accessory dwelling units used as short-term rentals shall be in accordance with Section 3-12(m).
(d) Maximum Occupancy Limit (for conditional uses): The Board shall establish a maximum occupancy for the short term rental use in accordance with the above provision, except the Board may allow additional occupants when there is sufficient evidence that a greater occupancy will not result in overcrowding or create a nuisance.
(e) Detached accessory structures may be used as a Short Term Rental only in a permitted Detached Accessory Dwelling Unit.
(f) Short Term Rentals shall not be utilized for private events, such as weddings or parties, in which the number of participants exceeds the maximum occupancy limit. No private events shall occur between the hours of 11:00 p.m. and 7:00 a.m. Special events for a commercial purpose shall be prohibited at all times.
(g) For Short Term Rentals regulated as conditional uses, the Board of Adjustment shall take into consideration:
1. The number of STRs, if any, in proximity of the property being considered for such use.
2. The demonstrated compliance record of the applicant, if they operate other STRs in Lexington.
3. The occupancy rate of other STRs in the general vicinity, including those operated by the applicant.
4. Whether other STRs in the general vicinity have been cited as a nuisance, including those operated by the applicant
(h) For any conditional use permit approved by the Board of Adjustment for a short term rental, the conditional use permit shall become null and void if the applicant’s short-term rental special fee license (as regulated by the Division of Revenue and Section 13 of the Code of Ordinances) lapses or is revoked.
(i) Any Short Term Rental operating in a principal dwelling unit prior to July 11, 2023, that would hereafter be regulated as a conditional use shall be allowed to continue its operation per Article 4-7, but shall utilize the new regulations provided in Sections A, C, E, F, and H above. Such uses shall obtain the license required above from the Division of Revenue and be subject to the regulations of Section 13 of the Code of Ordinances. A change in ownership shall require a conditional use permit to be approved by the Board of Adjustment.
(j) Any Short Term Rental operating in a principal dwelling unit prior to July 11, 2023 that is located in a zone that would hereafter prohibit Short Term Rentals shall be allowed to continue its operation as a non-conforming use per Article 4-3, and shall continue to operate in accordance with the definition of a dwelling unit occupied by one family or housekeeping unit, having no more than one rental contract per week, for a total of no more than 52 rentals per year and with an occupancy of no more than 4 unrelated individuals. Such uses shall obtain the license required above from the Division of Revenue and be subject to the regulations of Section 13 of the Code of Ordinances.
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