Pittsburgh is considering legislation that would require those responsible for short-term rentals to live within 25 miles of their properties and restrict the number of units they can operate.
The bill, introduced by Pittsburgh Council Deb Gross on July 15, aims to weigh the needs of neighborhood advocates and owners of Airbnbs, Vrbos and the like, but has critics in both camps.
Airbnb host Dennis Vodzak, for one, hopes the legislation doesn’t go through.
“I believe I’ll lose 50% of my revenue the way it stands right now,” he said.
Vodzak’s Airbnb, the Historic Day House in the Mexican War Streets, hosts guests in four different suites. But the new regulations would only allow for two short-term rental units in buildings with 20 or fewer total units.
Vodzak, a chef by training, includes a continental breakfast for guests and prides himself on remaining on-premise or nearby at all times. He said he’s never had any issues with renters, and believes problems mainly arise with absentee Airbnb hosts.
Critics say short-term rentals disrupt communities and reduce the city’s housing supply.
According to Gross, the proposed short-term rental regulations intend to address concerns about rowdy behavior as well as an influx of rental properties owned by private equity companies, resembling “scattered site hotels” where nobody actually lives full time.
“If you’re an owner-occupant, no matter where you are in the city, you’re allowed to Airbnb your house,” she said. “If you’re an out-of-state investor … you’re not automatically allowed to do that.”
If the legislation passes, those investors would have to apply for a zoning permit before they can acquire a license from the city to operate the rental. Additionally, the individual responsible for the property would be required to be located within 25 miles of it. This would require out-of-state investors to hire local property managers.
Gross said council has been working on this bill for years. Introducing it now was driven in part by zoning changes making it easier to build accessory dwelling units across Pittsburgh.
“People have pointed out that if we make it easier to add more units in these kinds of neighborhoods, then it makes them more appealing for the kind of predatory corporate investors,” Gross said. “I thought it was important, since that bill is finally moving forward … that we talk about both things at the same time.”
Disruptive behavior, absentee landlords and a lack of true ‘neighbors’
Concerns about short-term rentals have been mounting for more than three years, since a large party at an East Allegheny Airbnb became the site of a mass shooting.
Usually, though, the effect is less dramatic: the replacement of potential neighbors with tourists.
Michael Bellini, of the Mexican War Streets, said there have been large parties, hostile altercations, prostitution and even a SWAT team visit at short-term rentals near his home. He said the nearby Historic Day House exemplifies an Airbnb done right, but he deals with many problematic units owned by large companies.
“If you’re gonna do something illegal, what would be the best way to stay in the city?” Bellini asked. “Would it be to stay at a hotel, with their staff there, or to just rent out an Airbnb, and there’s nobody present?”
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When problems arise, he said he and his neighbors struggle to reach anyone who can resolve them. They’re sometimes forced to serve as the “concierge,” he said, cleaning up renters’ old food and garbage and calling the police when incidents occur.
Bellini recalled a time when his wife identified and contacted an owner, only to be connected with someone in Argentina who could only speak at midnight. Then, the person couldn’t locate the Airbnb in question.
“They were just stonewalling us in every way,” he said. “They don’t want to deal with it either.”
Some take more extreme measures than working the phones.
Last summer, after living in his downtown Pittsburgh apartment for less than a year, Daanish Zaidi decided he’d rather pay double rent than endure the final two months of his lease. He said frustrations with short-term rentals — which he estimated made up around one-third of the building — played a role in driving him out.
Seeking balance between Airbnbs, homeowners
Dave Breingan, executive director of Lawrenceville United, said short-term rentals contribute to Pittsburgh’s housing crisis, which he said disproportionately impacts lower income Black and brown residents. Last year, he testified against short-term rentals at a Pennsylvania House Majority Policy Committee hearing hosted by Rep. Lindsay Powell, D-Bloomfield.
There’s some evidence that short-term rentals can drive up housing prices. A 2020 study in Taiwan found that adding 100 Airbnbs raised housing prices by 0.5%.
According to Pittsburgh’s 2022 Housing Needs Assessment, there’s a supply gap of over 8,000 affordable housing units for low-income renters.
Gross said she’s hoping the new regulations can help keep more affordable housing available, while also making it easier for homeowners to rent out space. She said short-term rentals create good opportunities for visitors to immerse themselves in Pittsburgh’s unique neighborhoods.
“I think this is a good balance,” she said. “We should have more short-term rentals, but more responsible short-term rentals, and not have them in a way that takes away affordable housing for people who want to live in the neighborhoods.”
Consideration of the bill has been postponed until mid-September, allowing time for council to consider input from community members.
Deregulation or even stricter rules?
Housing advocates of different stripes have varied takes on the proposed regulations.
David Vatz, founder of Pro-Housing Pittsburgh, said regulating short-term rentals won’t be enough to curb housing costs. Instead, he said the housing problem must be solved by removing some zoning rules to make it easier to build lower-cost housing.
“Sometimes people will blame short-term rentals for issues with the housing market in general,” he said. “And we would say it could be that it’s a contributing factor. But ultimately, we believe that you need to build more housing, because housing cost is a supply and demand issue, so if you don’t build enough housing, the cost of housing goes up.”
Lawrenceville United is one of several organizations collaborating with Gross’ office to fine tune her legislation. Breingan said ideally, he’d like it to be made even more difficult for full-time short-term rentals to operate in residential areas.
Breingan said all short-term rentals can be detrimental – even those without absentee owners.
“Even if you’re a totally responsible operator, and you’re not getting 911 calls to your Airbnb, it can still have a negative effect on public safety, because it’s undermining our ability to build community.”
Jon Hanrahan, vice president of the Fineview Citizens Council and a county council hopeful, said he would prefer a more restrictive “one host, one home” rule, in which property owners are only permitted to rent out their full-time residence.
Gross, though, cautioned such a bill would be difficult to bring to fruition. She said council is trying to find a compromise.
Hanrahan said the bill compromises on the sorts of regulation housing activists would like to see. “Rather, this is a meeting of the interests of the people who want to make money from this industry, on the one hand, and the people in the community who want to build their communities on the other hand.”
Michelle Senko, president of the Realtors’ Association of Metropolitan Pittsburgh, said the organization is open to collaborating with bill sponsors. In a statement to Pittsburgh’s Public Source, she said any new regulations should comply with state law and “should not be more onerous than those to long-term rentals or hospitality providers.”
Vodzak, the Historic Day House’s owner, said he wants to make his case to council.
“I would say at least 90% of all the Airbnbs are run very well,” said Vodzak. “I would welcome anybody on city council to come to my Airbnb and view it and spend the night if they would like and see what this very, very successful Airbnb is about.”
Femi Horrall is an editorial intern at Pittsburgh’s Public Source. She can be reached at femi@publicsource.org.
This story was fact-checked by Ayla Saeed.
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