cleveland

Cleveland drafts sweeping short-term rental ordinance that would overhaul how Airbnb and VRBO operate in the city

Cleveland drafts sweeping short-term rental ordinance that would overhaul how Airbnb and VRBO operate in the city

A new ordinance introduced in Cleveland City Council on April 24, 2026 would enact a comprehensive short-term rental regulatory framework — creating new code sections governing STR licensing, amending the Transient Occupancy Tax, adjusting single-family zoning rules, and repealing the existing limited lodging provisions that have governed Airbnb-style rentals since 2017.

Cleveland is taking a sweeping new approach to short-term rentals.

Ordinance 561-2026, introduced April 24, 2026, would enact eleven new code sections (686B.01 through 686B.11, plus penalty provisions 686B.99 and 686B.991) specifically governing short-term rentals. It would simultaneously amend the city's Transient Occupancy Tax code (Sections 193.01, 193.02, 193.03, and 193.021), update One-Family District zoning rules under Section 337.02, and repeal Section 337.251 — the 2017 limited-lodging provision that has served as the primary STR regulation since the rise of Airbnb.

The legislation signals a maturation of Cleveland's approach to the STR market. The 2017 limited-lodging rules were an early-stage response; this measure would replace them with a dedicated regulatory chapter.

Key open questions — including license fees, occupancy caps, owner-occupancy requirements, and enforcement mechanisms — are not visible in the legislation's public summary but will become clear as the ordinance moves through committee.

File 561-2026 is currently in Administrative Review. Unlike other ordinances in the April 24 batch, this one is not marked as an emergency measure, suggesting a standard legislative timeline.