STR Frequently Asked Questions

1. How much will the STR Permit cost?

The STR Permit fee is:

  • Non-Owner Occupied STR $318
  • Owner-Occupied STR $268

There will be no pro-rating of time or fees. In additional all STRs are required to have a Business Tax
Certificate which costs $64 annually. This will be collected with your permit application.

2. When will my permit expire?
STR permits will expire annually on July 31 and a renewal application with annual renewal fee will need
to be submitted.

3. Is there a maximum number of short-term rental permits within the city?
Non-Owner Occupied - Yes, a total of 40 units will be permitted within the coastal zone. Generally these
are properties located west of North 4th Street and South 5th Street. A total of 60 units will be permitted
outside of the coastal zone. Generally these are properties located east of North 4th Street and South 5th
Street. You can view if your property is in the coastal zone by clicking this link.
Owner-Occupied – No, there is no limit on the number of STRs for owner-occupied.

4. I'm currently operating a STR unit, am I guaranteed a permit?
No, a STR permit is not guaranteed as STR units currently operating are not "grandfathered." Permits
will be issued on a first-come, first-serve basis

5. Where can I get basic information on my property?
You can use the following link and click on Grover Beach Zoning Map. You can then type in your address
and view the size of your lot, the zone, and whether it is in the coastal zone or not.

6. What does "legal dwelling unit" mean?
A legal dwelling unit is a structure, or portion of a structure, that was issued a building permit for
habitable area for residential purposes. The Short-Term Rental Ordinance Section 4.10.185.B. STRs
may be allowed in a single family dwelling or mobile home, multi-family dwellings, and dwellings within
a mixed-use project. STRs are prohibited in live-work units, caretaker units, accessory dwelling units
(unless existing, under construction, or in plan review prior to June 17, 2019), residences subject to
an affordable housing covenant or deed restriction, and in any type of vehicle (i.e. recreational vehicle, motor home, travel trailer, truck campers, tent trailers, boats).

7. How can I tell if I have a "legal dwelling unit" or how do I get more information on my property?
You can come to City Hall and request to see your "street file," This file contains information on your
property that the City has, including floor plans, site plans, etc. In some instances, the City does not
have this information. If it does not, you may need to go to the San Luis Obispo County Assessor's
Office in San Luis Obispo, and obtain a "residential building record." This can only be obtained if you
are the property owner, and in person.

8. I have done modifications to my home that includes adding bedrooms, converting my garage or
workshop, or a granny unit without a building permit. Can I still get a STR Permit?
City staff will be verifying all submitted floor plans and site plans to confirm that it was legally
constructed consistent with City building permits. Any unpermitted work such as additions, conversions, or unpermitted accessory dwelling units that are discovered during this review will cause your application
to be rejected and will result in a code enforcement investigation that could result in restoring the area
to its previously permitted use or demolition if it cannot meet Zoning and Building Code requirements.
If you have questions regarding construction, please contact the Community Development Department
at (805) 473-4520.

9. Where do I get a copy of CC&Rs or Home Owners Association regulations?
You should have been issued a copy of these with your deed or escrow papers. If you need to obtain
additional copies, you will need to visit the San Luis Obispo County Recorder's Office. The City does
not have copies of these documents.

10. I rent my property. Can I still get a permit for an STR?
Yes, but the property owner must apply for the STR Permit. A renter cannot apply for a STR Permit.

11. I already have a BTC. Do I need another one?
Yes, your current BTC is for a specific business (i.e., for your home office for XYZ Enterprises), and
a separate BTC is required for each business, such as the STR.

12. Is there a place I can sign up for updates?
Yes, you can sign-up for updates including when applications will be available, and other info by
filling out this form.

13. Am I required to pay transient occupancy tax (TOT) to the City, even if I operated an STR before the
Yes, the payment of TOT is required for all STRs operating in the city and is required to be remitted
on a monthly basis consistent with the City's TOT ordinance. Payment shall be made on the City form.
Starting in October 2019, payment of TOT can be made on this website through Host Compliance.

14. Can't I just use Airbnb or my other hosting platform to collect TOT for people that stay at my residence?
Not at this time. The City is working with platforms such as AirBNB to allow them to directly submit TOT
payments to the City, however it is contingent upon the ability to indicate the address and number of
stays per month. Airbnb and other platforms are not providing this information to the City, therefore
we cannot adequately ensure TOT is collected in a fair manner. If you would like this to change, contact
your hosting platform and request they work with our city, as well as, others, to provide that information.

15. I have additional questions that haven't been answered here. Whom can I contact?
You can email questions to STR or call us Monday through Friday from 8:00 a.m. to
4:00 p.m. at (805) 473-4520.
This page will be updated as additional information becomes available.