Since the City of Dana Point began accepting vacation rental applications in May, it has issued a total of 62 short-term rental permits: 37 within the city’s coastal zone and 25 outside of it.
The vacation rental programs set a total cap of 230 vacation rental permits broken down into 115 allowed within the coastal zone and 115 permitted outside. However, as of Feb. 7, when the programs were approved, the city limited the number of available new permits outside of the coastal zone to 25 until it evaluated potential impacts of the new vacation rentals.
The program included a provision that would allow the city to evaluate the possibility of permitting additional vacation rentals outside of the coastal zone based on citywide tracking measures, bringing the total to 115.
The City Council on Tuesday, Nov. 21, is scheduled to hear an evaluation of the short-term rental program and discuss the possibility of implementing the maximum permit cap outside of the coastal zone to the 115 total as well as potentially requesting annual reports on the program.
According to the staff report, there were no vacation rental violations in 2023. The city’s complaint line and the Orange County Sheriff’s Department received eight calls regarding parking concerns with STRs, however none were determined to be violations.
Since issuing 62 vacation rental permits citywide, there are a total of 177 permitted STRs. If the City Council approved the 115 cap on vacation rentals outside of the coastal zone, there will be a total of 53 available permits: 11 within the coastal zone and 37 outside.
Of the permits issued since May, when the programs were implemented, 18 were for primary or homestay vacation rentals, 13 were for multi-family homestays, two were for mixed-use parcels and 29 were for non-primary short-term rentals.
The city maintains a cap of 60 non-primary short-term rentals. Because there are 53 non-primary vacation rentals in the city, there are only seven available permits for that rental type.
There is a waitlist of 46 applications for permits outside of the coastal zone, of which, 31 are requesting non-primary vacation rental permits.
The City Council meeting will occur at Dana Point City Hall Council Chambers located at 33282 Golden Lantern, Dana Point.