The Case for STR Caps and Street-Level Limits by Councillor Michelle Graham Short-term rentals (STRs) have rapidly transformed the housing landscape in cities, towns and villages worldwide. In response, many municipalities are introducing STR caps and imposing percentage limits on how many STRs can operate on a given street, typically restricting STRs to 10 to 20% of residential properties on a block. These measures aim to balance the economic benefits of STRs with the need to preserve community integrity and housing affordability. One of the primary reasons for STR caps is the impact on long- term housing supply. When residential units are converted into STRs, they are effectively removed from the rental or ownership market, exacerbating housing shortages and increasing housing prices. This effect is particularly acute in high-demand tourist-heavy areas like Port Stanley. By capping the number of STRs, cities, towns and villages attempt to ensure that housing remains available for residents, not just tourists. Street-level percentage caps address another critical concern: neighbourhood character. A high concentration of STRs can erode community cohesion, as rotating guests replace long-term neighbours, often leading to noise complaints, parking issues, and a loss of community trust. Keeping STRs to a small fraction of homes per street helps maintain a sense of residential normalcy. In the long term, unregulated STR growth risks displacing vulnerable populations, disrupting neighbourhoods, and undermining efforts to build sustainable communities. Caps and zoning limits are thus essential tools for municipalities seeking to strike a fair balance between tourism, economic opportunity, and livability. Rise, Speak, Be Heard — Your Voice Shapes Tomorrow – The Power is in your hands!
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Port Stanley Villager • June 2025 • Page 5
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