More Red Bank residents could rent out their homes under proposed short-term rental law

RED BANK - Just over a year after passing a short-term rental ordinance restricting who could rent out homes in town, the Borough Council is looking to change the law to make it less restrictive.

Short-term rentals include Airbnbs, Vrbos or other rentals that allow people to book properties for less than 28 days. They do not include other types of transitory housing such as bed-and-breakfasts or halfway homes.

The change in the ordinance introduced Thursday night revolves around where short-term rentals can operate. It removes the provision that short-term rentals can only operate in the zones in or near the commercial districts, namely the Business/Residential-1; Business/Residential-2; Central Commercial District-1; Central Commercial District-2; Industrial; Light Industrial; Neighborhood Business; Highway Business; Waterfront Development; and Professional Office zones.

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Instead, the proposed revision would allow any single-family home, townhouse or condominium that is the owner’s primary residence to apply for a short-term rental permit. Condominium residents would have the additional requirement of making certain that their condominium association allows short-term rentals.

The proposal would also remove the ban on short-term rentals on homes that are designated as affordable housing.

“I am OK with owner-occupied for a couple of reasons,” Councilman Ben Forest said, stating that he was fine with residents making money from their properties.

“I do not want investment properties that are just Airbnbs,” he said. “The owners aren’t residents. They don’t come here, whatever it is. That is a disaster.”

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He said he believes a proliferation of investment properties would cause housing to be unaffordable, but he said there are reasons people would want to stay short-term in Red Bank.

Red Bank’s borough attorney, Greg Cannon, argued that the proposal is the strictest it can get without banning short-term rentals. He argued that a complete ban would not hold up in state court.

A number of residents expressed concern with enforcement.

Resident Cindy Burnham said, “Do we call the police if it’s off hours?”

Canon said people can call the police or the borough’s code department if there is a noise violation or other issues.

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The proposed ordinance requires that owners must respond to police and neighbors’ complaints within two hours. Owners are also required to submit the identity and contact information of the guest to the Fire Marshall’s Office before renting. Properties can only remain a short-term rental if there are no noise complaints regarding the property and if there are less than two documented incidents of the police being called to the residence.

Canon said short-term rentals that do not comply with borough ordinances could be taken to court. He said a violation would be $2,500 per day.

He said the borough’s proposed ordinance also has stringent rules that require short-term rental owners to file a permit that has to be renewed yearly. The address of the property has to match a state ID for the owner filing the permit.

When the borough voted to restrict short-term rentals in February 2023, a number of residents complained about noise and parking. The effort was led by former Councilman Michael Ballard.

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"This ordinance was designed to help bring more affordability to housing, to open it up to people who want to be part of our community,” he said at the time, “not transient people who want to come and go.”

Mayor Billy Portman vetoed the ordinance, but his veto was overridden by the council soon after. However, in the subsequent May election, Portman's slate of candidates defeated the slate championed by Ballard and his allies.

The ordinance could become law after a vote by the borough council at 6:30 p.m. Thursday, May 23, at borough hall.

Olivia Liu is a reporter covering transportation, Red Bank and western Monmouth County. She can be reached at oliu@gannett.com.

This article originally appeared on Asbury Park Press: Red Bank aims to make short-term rentals like Airbnbs less restrictive