Plano Says No to New Short-Term Rentals in Residential Neighborhoods

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This two-bedroom short-term rental in West Plano rents for $129 per night.

Amid complaints of gun violence, sex trafficking, and raucous parties, the Plano City Council on Monday unanimously approved an ordinance banning new short-term rentals in residential neighborhoods. 

The permanent ban on new STRs follows a temporary measure approved in May 2023 that halted new residential Airbnbs until an ordinance could be deliberated and approved. 

The measure approved Monday was the result of citizen-proposed short-term rental regulations offered by members of the TX Neighborhood Coalition’s Plano chapter, according to a KERA report

Watch the April 22 Plano City Council meeting here.

Plano Officials Anticipate Lawsuit

Safeguards are in place so short-term rentals that were operating prior to Plano’s temporary ban in May can continue renting to guests. The new ordinance also allows for short-term rentals with live-in managers in the city’s heritage districts, according to the KERA report. Unregistered STRs have until Aug. 1 to pay a registration fee. 

Despite such compromises, Plano officials said they anticipate a lawsuit. 

Councilman Rick Horne voted in favor of the ordinance but said he has concerns that it infringes on property rights. 

“We’re either going to be sued now or sued later,” Horne said.

Dallas Short-Term Rentals

The Dallas City Council approved its short-term rental ban in a 12-3 vote in June 2023. A lawsuit followed, filed by the Dallas Short Term Rental Alliance. A judge granted a temporary injunction allowing STRs to operate legally in residential neighborhoods until the matter is litigated in a non-jury trial scheduled for June 3. 

Dallas appealed the injunction, which remains in place. 

“On December 6, 2023, a temporary injunction was filed prohibiting the enforcement of the two short-term rental ordinances,” states a note on the City’s STR resource webpage. “In the meantime, the City will continue enforcement of its existing ordinances governing minimum property standards, disturbing noises, and private nuisances.”

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April Towery covers Dallas City Hall and is an assistant editor for CandysDirt.com. She studied journalism at Texas A&M University and has been an award-winning reporter and editor for more than 25 years.

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