Sea to Sky Rentals manages residential properties throughout the City of Seattle. These properties are used for owner occupancy and rental, including short term rental (“Personal Home Rental”). These properties include condominiums in the Elektra Condominiums.
In 2007, the City of Seattle Department of Planning and Development (“DPD”) issued Notices of Violation (“NOVs”) to a number of property owners in the Elektra stating that the short term rental of the condominium units constituted an impermissible “lodging” (or hotel) use, not a permitted residential use. Michelle Acquavella, owner of Sea to Sky Rentals, along with others, asked DPD to reconsider. In February 2008, the City issued a decision upholding the NOVs.
Ms. Acquavella and others then submitted a request for a Code Interpretation to DPD, asking DPD to determine that Personal Home Rental is a residential use. The Code Interpretation was issued on July 17, 2008. The Code Interpretation concluded that rental of condominium units in the Elektra for less than 30 days is a lodging use.
Ms. Acquavella appealed the Code Interpretation to the City’s Hearing Examiner. On October 23, 2008, the Hearing Examiner issued a decision partially reversing the Code interpretation. The Hearing Examiner concluded that the 30 day rule announced in the Code Interpretation is not supported by the City Code and cannot be used by the City. However, the Hearing Examiner concluded that there was not enough evidence in the record to determine whether Ms. Acquavella’s short term rental is a residential use.
Ms. Acquavella then appealed to King County Superior Court. On May 5, 2009, Judge Spector issued a decision stating unequivocally that “rental of condominiums in the Elektra is a permitted residential use.” The City did not appeal this decision.
DPD has recognized that, under the Superior Court decision, all Personal Home Rental in the City is residential. Therefore, Personal Home Rental is permitted in single family homes, condominiums and apartments.
However, DPD has stated that it will ask the City Council to change the City Code to prohibit Personal Home Rental. DPD is working on this legislation now and plans to ask the Council to adopt it this year.
Seattle Personal Home Rentals 