Nashville shutting down 100 short term rentals due to code enforcement permits error

FOX 17 News

The city of Nashville is putting 100 short-term rentals out of business because Metro Code Enforcement says it issued those permits by mistake.

Short-term rentals have become increasingly more popular in Nashville.

“It's a growing city, and hotel prices are out the roof,” said Darin, who rents-out his Nashville home.

Darin has been renting his place for about a year, he said it's great for visitors and it's a way for him to make ends meet. But then he got a notice to stop.

“It's just kind of frustrating because there's always something that's put in place to stop you from progressing,” Darin said.

Last February, Metro rewrote the short-term rental laws, the main goal being to eliminate non-owner-occupied permits in residential zoning districts.

There were two provisions: one saying if it's a duplex or a tall and skinny, you must own both units and live in one of them, and the other prohibiting the splitting of ownership of homes in two-family lots.

Then, in October, they realized many permits were mistakenly issued, but Darin can't make sense of it.

“You can do it in an apartment building, you can do it in a town home, but you can't do it in an actual house that's in a neighborhood,” questioned Darin.

Some others aren't happy as well.

One woman has filed a lawsuit, and lawyer Jamie Hollin said the codes department is aggressively going after people who possess owner-occupied permits.

"The government wants to take away the rights of property owners, and later claim it was 'issued in error,' while at the same time enjoying the benefit of sales tax collection," Hollin said.

The codes department is hoping to send out those notices in the next few weeks.

If you think your permit was wrongly cancelled, you can try to overturn it at the Board of Zoning Appeals.

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