Real Estate Agents and Brokers
Prince Edward County has become one of Ontario’s most popular tourist destinations. Many visitors enjoy staying in accommodations like inns as well as bed and breakfast establishments. Changing consumer demands also mean that non-traditional short-term accommodations are gaining in popularity.
The municipality is committed to implementing reasonable regulations that limit the growth of short-term accommodations in saturated areas and encourage new short-term accommodations in areas with appropriate densities. Furthermore, the municipality wants to ensure the safe and respectful operation of short-term accommodations in the interest of all residents and visitors.
A short-term accommodation is defined as a dwelling or dwelling unit, or any portion of it, that is rented with the intention of financial compensation for any portion of a period of less than 30 days and includes a ‘bed and breakfast establishment,’ but does not include a motel, hotel, hospital, or other short-term accommodation where there is no financial consideration or payment exchanged.
The municipality recognizes:
- Traditional bed and breakfast establishments, where the owner lives on site
– Partial or whole dwelling units where the owner’s principal residence is on the same property
– Partial or whole dwelling units where the owner’s principal residence is elsewhere
– On-farm tourist homes
The new regulations set out density limits for short-term accommodations. The limits vary depending on the area. The total number of STAs shall be limited to a maximum density of 15% of existing dwelling units:
- As measured within a 120 metre radius in settlement areas on full services;
– In the Hamlet/Residential Zone, a 220-metre radius;
– In other zones/areas, a 500-metre radius.
Maximum densities do not apply to STAs that are also used as principal residences (bed and breakfast establishments, for example).
All STA operators are required to obtain a licence from the municipality. Visit the licensing page for more information about applying for a licence.
Please note: grandfathered STAs must comply with the operational requirements in the STA licensing by-law, the property standards by-law, the administrative penalities by-law, and the fees and charges by-law.
Please note: In June 2021, Council extended the licensing pause on whole-home STAs indefinitely. The licensing pause has been lifted for bed and breakfast establishments and owner-occupied STAs. For definitions of these terms, please review By-Law 108-2021. The licensing pause will give the municipality time to complete a study on the impact that STAs and the licensing program are having on affordable housing in The County. The results of that study are expected in the Fall of 2021. The pause on licensing new whole-home STAs will last at least until the study can be considered alongside any changes or revisions to the licensing program.
Buyers looking to operate an STA that will not be their principal residence are subject to the density limits. They will not be granted a licence if their area is above the 15% density limit.
Generally, any existing STAs that were in operation prior to the passing of the Zoning By-Law will be considered a legal non-conforming use and “grandfathered.” In areas where the density limits for STAs are exceeded, STAs in existence prior to the new by-law are grandfathered and can continue to operate, whereas a new STA would not be permitted in those areas.
The legal non-conforming or “grandfathered” status stays with the property even if it is sold, provided there is no change in primary use of the property. However, the buyer will be required to obtain a licence to continue operating a short-term accommodation on the property.
Frequently Asked Questions
At this time, the municipality does not have an inventory of short-term accommodation locations. Prospective buyers are advised to undertake their own due diligence in this regard. This is best completed through site inspections as well as a dialogue with local residents and realtors.
Legal non-conforming status is premised on continued use. Significant interruptions or changes of use would negate the property’s legal non-conforming status.
The County will use a software program to collect data from multiple websites that facilitate short-term accommodation rentals. By using this software, the municipality aims to improve the identification of STA locations that will help with determining density limits.
No. Bed and breakfast establishments and other short-term accommodations that serve as the principal residence for an owner or other long-term resident on the same property are not subject to the density limits.
If you require more information or have specific questions regarding your property or situation, please call 613.476.2148 ext. 2050, 613.962.9108 ext. 2050, or email firstname.lastname@example.org.