Understanding Short-Term Accommodation and Commercial Resort Units in the Blue Mountains

Understanding Short-Term Accommodation and Commercial Resort Units in the Blue Mountains

Welcome to the STABlue blog ! As the foremost expert in short-term accommodation and licensing in the Blue Mountains, I’m excited to guide you through the essential aspects of the rental landscape in our beautiful region. With my extensive experience as a long-time stakeholder, I believe the best way to start is with an overview of the two primary types of legal rental properties: Short-Term Accommodation (STA) and Commercial Resort Unit (CRU).

What Are STA's and CRU's

Both STA and CRU are defined terms that indicate different types of legal rental properties based on specific criteria, primarily zoning and property management styles. Understanding these distinctions is key for homeowners looking to navigate the rental market effectively.

1. Short-Term Accommodation (STA): This use refers to properties rented for periods of less than 30 consecutive days. If you plan to engage in short-term rentals, securing an STA license, if required, is essential.

2. Commercial Resort Unit (CRU): This type encompasses properties designed for gainful rental purposes and is subject to different regulations. Notably, a CRU unit's operation can be managed under a centralized program, which can provide substantial benefits to homeowners.

Key Determinants: Zoning and Management

The classification of a property as either an STA or a CRU hinges on two primary factors: the zoning of the property and the nature of its rental management. Zoning bylaws dictate what types of properties can be categorized under STA or CRU usage.

Zoning: 

Each property falls under specific zoning bylaws, which dictate permissible uses. Depending on where the property is located in the Blue Mountains, the allowable land uses will guide whether an STA or a CRU designation is applicable pr both.

Management Structure: 

The type of rental management selected by the homeowner influences whether an STA license is required. For instance, engaging a management program like Blue Mountains’ market-leader, Property Valet,  enables homeowners to operate under CRU regulations, potentially simplifying the licensing process.

Where Land Use Opportunities Exist

Based on the zoning bylaw (ZBL) and the management choices available, the property paths differ across various developments in the Blue Mountains. Here’s a brief overview of some key locations:

Snowbridge: Every short-term rental property requires an STA license for rentals under 30 days. Engaging with Property Valet or going it on your own mean, in either scenario, you will need to secure an STA license.

Rivergrass, Sierra Lane, Mountain Walk, Wintergreen, Chateau Ridge and North Creek Resort: Homeowners engaging with Property Valet would not need an STA license, allowing operations under CRU regulations.Going it on your own within these developments means you will need to secure an STA license.

Cachet Crossing: Here, STA use is not permissible, requiring engagement with a professional management program and have the property operated/managed as a CRU..

Tyrolean Village Resort Zone: In this "exempt" residential zone, every short-term rental demands an STA license for rentals under 30 days, regardless of management program engagement.

Important Considerations

A crucial takeaway is that STAs and CRUs in Rivergrass, for instance, are structurally identical, yet their licensing requirements differ based on management approaches. 

Conclusion

Navigating the short-term rental landscape in the Blue Mountains, and in Collingwood, can seem daunting, but with the right information and guidance, you can confidently explore your options. At STABlue, we are committed to assisting you every step of the way.

If you have any questions or need more detailed information about your property’s status or licensing requirements, please don’t hesitate to reach out. I look forward to connecting with you!

Warm regards,

Stu Frith  

STABlue  

Email: stu@stablue.ca 

Phone: 705.607.2583  

Website: www.stablue.ca