Canadian Lawyer

May 2018

The most widely read magazine for Canadian lawyers

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20 M A Y 2 0 1 8 w w w . C A N A D I A N L a w y e r m a g . c o m scar Miklos attended a Van- couver strata meeting armed with two bylaws he had drafted — one to prohibit short-term rentals and another that would allow the board a semblance of control over them. But a lengthy discussion resulted in no conclusions and neither bylaw could attract the 75-per-cent support required. Some of the unit owners, fearing their complex was being converted into a hotel, wanted short-term rentals pro- hibited. But others wanted to preserve the ability to rent out their units to off- set their home ownership costs. "Because they were so divided and because it does require a three-quarter vote to change or amend the bylaw, they could not agree on anything and they just couldn't get anything passed, unfortunately. That's an illustration of how divisive this issue of Airbnb has become that you literally have people in condos who are going up against each other and cannot agree on just about anything when it comes to this because their interests are so diametri- cally opposed," says Miklos, whose real estate practice at Haddock & Company Lawyers includes a great deal of work in condo law. The City of Vancouver has its own concerns. Fearing that its extremely expensive and limited housing stock is being lost to short-term rentals, it adopted new rules that were to go into effect in April. They permit homeown- ers or renters to rent out their principal homes for less than 30 days at a time. But they are prohibited from renting out secondary homes or suites for short periods. The expectation is that about 1,000 of the more than 6,000 units or homes currently used for short-term rentals will return to the long-term market as people adapt to the new rules. The possibility of renting out a condo unit for a few weeks or nights has opened new opportunities for both those looking for an alternative way to vacation and others in search of new sources of income. But the new sharing carries with it some inconveniences as well as legal concerns. As condominium boards increasing- ly allow or prohibit short-term rentals through their declarations and bylaws, particularly in the overheated Toronto and Vancouver markets, courts are also being asked to resolve disputes and are setting precedents. Municipalities are also imposing regulations, often to preserve permanent housing stock and prevent its transformation into tourist accommodation. In Quebec, the provincial govern- ment has brought in its own legislation. Short-term rentals have served as a lightning rod of sorts in the province, with a very vocal tourism sector cry- ing foul as it finds increasing competi- R E A L E S TAT E By Marg. Bruineman HUAN TRAN Short-term headaches The growing popularity of short-term rentals has brought a host of new legal issues O

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