Kelowna updates rules to bring back legal short-term rentals

Kelowna apartment owners in select areas may soon be able to legally operate short-term rentals again under updated city rules.

The city is introducing a new Short-Term Rental subzone that allows eligible properties, including units that were already renting before May 1, 2024, to become principal short-term rental properties.

The rules divide rentals into two categories: major rentals run by non-resident owners and minor rentals run by residents. City staff say the new framework protects long-term housing while making it clear which properties can qualify, and licences will only be issued after council zoning approval and provincial exemptions under the Short-Term Rental Accommodation Act.

Council will receive a mid-year update on the program, including the number of subzone applications, licences issued, and recommendations for potential changes in 2027.

Officials say the goal is to balance community input, housing needs, and economic growth, providing clarity for owners and residents alike.