Philadelphia Zoning Code Changes, Part 2: Airbnb Regulations and More

On June 23, Mayor James Kenney signed into law Bill No. 210081 that amends Section 14-604 of the Philadelphia Zoning Code titled “Accessory Uses and Structures;” as well as Chapter 9-3900 of The Philadelphia Code, entitled “Property Licenses and Owner Accountability;” Section A-906, entitled “Property License Fees;” and Chapter 19-2400, entitled “Hotel Room Rental Tax.”

Definition and Regulation of Limited Lodging

Section 14-604 of the Philadelphia Zoning Code outlines the accessory uses and structures permitted in conjunction with allowed principal uses and structures.

Under the amended law, the Philadelphia Zoning Code was amended to define the term ”limited lodging” to track Airbnb use more closely.

Limited lodging is now generally defined under Section 14-604(13)(a) as “the accessory use of a dwelling unit for temporary rental for occupancy for dwelling, sleeping or lodging.”

Under the amended law, it specifically provides that “the standards of this section are intended to ensure that limited lodging will not be a detriment to the character and livability of the surrounding neighborhood.”

Licensing Requirements and Restrictions

The Philadelphia Zoning Code now limits such limited lodging to a “natural person” who is deemed a primary resident of the property...

Chapter 9-3900 of The Philadelphia Code, titled “Property Licenses and Owner Accountability” has also been amended to create what is now known as a limited lodging operator license.

Under the new law, short-term rental operators must now obtain this limited lodging operator license...

Ownership Disclosure and Compliance Requirements

To obtain a license, the applicant must have a valid commercial activity license and no outstanding violation notices...

Furthermore, if the property owner is not a natural person or a publicly-traded company...

Booking Agent Regulation

Under the new law, all short-term rental operators are required to use a registered booking agent...

A booking agent must have a limited lodging and hotels booking agent license...

A booking agent will also be subject to the hotel room rental tax, tourism and marketing tax, and the hospitality promotion tax under the new law.

Neighborhood Conservation Overlay District (/NCO)

On July 15, Kenney signed into law Bill No. 210361 that amends Section 14-504 of the zoning code titled /NCO...

The new law does not permit multi-family use in any single-family zoning classification in the Overbrook Farms /NCO district...

Far Northeast Overlay District (/FNE)

On June 23, Kenney signed into law Bill No. 210425 that amends Section 14-500 of the Zoning Code titled Overlay Zoning Districts...

The new law states that any use within the Philadelphia Zoning Code that qualifies for a special exception will instead require a variance within the /FNE, Far Northeast Overlay District.

— Clementa Amazan, an associate at Nochumson P.C., is the co-author of this article.

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