Short-term rentals effectively banned on lakes near Hell

PUTNAM TWP. — Short-term rentals have been effectively banned on lakes in Hell and single-family home properties throughout Putnam Township.

Owners of properties listed on sites like Airbnb and Vrbo will be required to stop taking reservations by June 21, once a newly approved township ordinance goes into effect.

While officials say they'll allow impacted short-term rental operators to honor existing bookings through Labor Day weekend, moving forward, they'll only be allowed on commercial and qualified agricultural land.

If owners of short-term rentals in the township — concentrated on Hi-Land Lake, Patterson Lake and a portion of Portage Lake — violate the township's ordinance, they could face civil infractions and fines.

Owners of single-family home properties listed on sites like Airbnb and Vrbo will be required to stop taking reservations by June 21 in Putnam Township.
Owners of single-family home properties listed on sites like Airbnb and Vrbo will be required to stop taking reservations by June 21 in Putnam Township.

Putnam Township Supervisor Dennis Brennan told The Daily short-term rentals have been "a growing concern" on local lakes in recent years. He said there have been complaints from residents.

The Daily has reached out to several impacted short-term rental owners. None have responded to requests for comment. Airbnb and Vrbo officials did not responded to requests for comment.

Concerns include public safety, nuisances and potential strain on septic systems. While some of the rentals in the township are owned by locals who officials say operate them in a respectful way, there are others from outside of the community buying up homes as investment properties.

A photo of an Airbnb search for short-term rentals in Hell, Michigan, is captured Tuesday, May 21, 2024.
A photo of an Airbnb search for short-term rentals in Hell, Michigan, is captured Tuesday, May 21, 2024.

"Now, it's to the point where investors are creeping in," Brennan said. "What they're doing is they're pricing everyone out of the market except for investors who are looking to use their properties essentially as hotels."

There are neighbors "who have been running Airbnbs on their properties and have done it right," he said, adding "it's unfortunate we couldn't find a way to exclude them" from the ordinance.

The ordinance doesn't ban short-term rentals entirely. Rentals on commercial and qualified agricultural land, such as farms involved in agritourism, are allowed with restrictions. Among the restrictions, an owner must register with the township and receive approval from its zoning administrator. They must also consent to a fire inspection and a septic inspection.

The ordinance limits capacity to two people per bedroom and caps the number of guests allowed on the premises at 1.5 times the maximum number of occupants. It also requires a representative to live within 45 minutes or a designated a local contact person.

Putnam Township Clerk Valerie Niemiec said she lives in Hi-Land Lake, where there are several short-term rentals.

Niemiec said she's seen short-term renters disobey marine law by driving boats the wrong way around the lake. Boat traffic is supposed to travel counterclockwise.

"It's not just a nuisance issue, it's a safety issue," she said. "Those of us who live on the lakes can't use the lake when short-term rentals are there."

Neighboring Hamburg Township has taken a different approach. While the township has rules and regulations, short-term rentals are allowed in single-family homes.

Police Chief Richard Duffany said, while there have been some complaints "they're not a really a major problem."

"We may get, for the entire summer, maybe a dozen complaints at best," Duffany said, though he acknowledged some residents have had problems with a specific Airbnb near Base Line Lake. Officials are expected to follow up on those complaints.

“It’s not a major issue but we have a couple hots spots where issues have arisen,” Duffany said.

The Portage Base Lakes Area Water and Sewer Authority has rules for properties being used beyond a single household.

Sewer Authority Board Secretary Tom Ehman, who owns the Portage Lake Yacht Club, said "any type of non-household unit" is required to have a water meter "so we can clock if they're using more" than 200 gallons a day, on average.

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If a short-term rental on the sewer system uses more water, the authority requires the property owner purchase another residential equivalent unit, known as an REU, which runs $14,720.

While the authority can disconnect anyone who doesn't comply, Ehman said they haven't needed to disconnect anyone yet.

Contact reporter Jennifer Eberbach at jeberbach@livingstondaily.com. 

This article originally appeared on Livingston Daily: Short-term rentals effectively banned on lakes near Hell