Stricter Rules For Atlantic City Short-Term Rentals

After years of resident complaints, Atlantic City Council finally rolling out new rules for AirBnB type, short-term rental properties.

City Council drafted two ordinances that address short-term rentals and their affect on residential quality of life issues in Atlantic City.

The General Short Term Rental Ordinance made changes to the following:

  • Annual fees
  • Occupancy loads
  • Age limits
  • Parking availability

A second ordinance has been designed to cap the number of short-term rental permits within the Chelsea neighborhood of AC. Look for other areas of Atlantic City to follow suit.

In Chelsea, short-term rentals will only be permitted if operators have a valid 2020 certificate of occupancy. Only then will they be able to rent their properties in 2021. No additional rental permits will be issued in 2021.

Short term rental websites like AirBnB have reinvigorated a stagnant real estate market in Atlantic City.

Like em or not, vacation rentals via online platforms like AirBnB are becoming a larger part of Atlantic City’s economy. A blessing for those who want a more diversified economy.

These digital platforms reduce the expense of marketing the property. Renters find the sites easy to use and convenient.

In some cases, AirBnB’s are a financial lifeline for struggling property owners facing higher Atlantic City property taxes. Successful rental properties increase property values, which spawns more tax revenue. Short-term rentals attract tourists wanting a good time in AC, eager to spend their money.

Atlantic City Wants To Control, Not Ban, Airbnb Type Rentals

Even with higher taxes, Atlantic City still attracts Real Estate and housing investors. Specifically those who own/manage vacation rentals and sober living homes.

Growth of online rental platforms. Still lightly regulated. Poorly enforced rules. Noise, trash collection, parking problems. Most short-term rental operators are respectful of neighbors and respect all laws. But not all.

Short-term rental developer Kurt Kwart and his wife Beth spoke up for those who see short-term rentals as a positive. A way to boost the local economy. Mr. Kwart questioned risk associated with sober homes vs rental. ex: recent fire set by resident at local recovery home.

Public comments from Kurt and Beth Kwart: ‘Just a bunch of Chelsea people complaining.’ Hurting business. Setting bad president. This change will slow investment.

AC Councilman for 6th ward, Jesse Kurtz, was thanked for his continued efforts in tackling the issue of density. Too many non-residential properties negatively affect character of neighborhood. Sober homes, rooming houses and AirBnB type short-term rentals.

We can’t ban them, but we need to regulate them.

Some property owners are stuck with properties with upside down valuations. They owe more than the property is worth. But when converted to Air BnB, they could enjoy positive cash flow.

Some believe over 75% of older, run-down AC properties being rehabbed, will become vacation rentals.

Public comment from Dora Grossman: It’s very lucrative to run an AirBnB in Atlantic City. Some residential areas seem to be turning into hotel zones and commercial zones.

Atlantic City Sober Living Homes

AC Business Admin Anthony Swann says NJ State DCA changed the rules. Local towns DO NOT have a say on sober-living homes. The sober living legislation was sponsored and pushed by Assemblymen Vince Mazzeo and John Armato. Unknown what role, if any, Senator Chris Brown played.


  1. Banning vacation rentals in a vacation town. Sounds like a bright idea Morshed! I wonder why there is so much crime in your ward.

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