HomeMy WebLinkAbout4a. Short-term rental policy discussion update DRAFTCity of Lakeville
Memorandum
To: Economic Development Commission
From: Tina Goodroad, Community Development Director
Copy: Kati Bachmayer, Economic Development Manager
Justin Miller, City Administrator
Date: August 26, 2025
Subject: Short-term rental policy discussion update
The City Council recently discussed Lakeville’s short-term rental policy during the July Work
Session. This agenda item is to provide an update on that discussion to EDC members.
The City of Lakeville allows short-term rentals subject to approval of an administrative permit
under the following requirements: Renting of rooms within an owner-occupied dwelling unit
to not more than two (2) individuals who are each unrelated to the principal family as an
accessory use provided that:
1. The property owner shall not enter into a rental agreement with more than two
individuals within a 30-day period.
2. There shall be one off-street parking stall provided for each rental occupant of the
property in addition to the parking stalls required by chapter 19 of this title.
For the City Council Work Session, staff prepared research from eight cities that have an
ordinance for short-term rentals. Requirements vary but the majority have some type of
license, allow rental of the whole home and do not require the owner to be present. Additional
requirements include limits on how many licenses will be permitted.
Based on the feedback provided by the City Council, staff will prepare a draft ordinance
update for further discussion during the October Work Session.
Action Requested: No specific action is requested. Members are encouraged to ask questions
and provide insights into the presented data.
City Type Renewal Fee Guests Parking Amount of Home Lodging Tax Additional
Burnsville License Annual $62 Not specified Not specified All Monthly report
Must be homestead and notify
neighbors
Chanhassen License Annual $200
Two adults per bedroom, plus an
additional two adults. Accompanying
children don't count towards the
limit.
Max four vehicles
outside All Not mentioned Good Neighbor Brochure
Hopkins CUP $150
No more than 6 adults and their
dependent children Not mentioned All Not mentioned
Not allowed on lots occupied by
ADUs
Minnetonka Registration Annual $0 Not specified Not specified All Not mentioned
Rosemount License Biannual $50
Two times number of bedrooms
rented plus one No on-street parking All Not mentioned
If not owner-occupied, owner
must reside within 30 miles.
Roseville License Annual $559.86
One family or four unrelated adults to
occupy a single family rental unit Not specified All Yes
A. "Non-owner occupied." B.
Can't be more often than "one
every seven days (Oct 1-May 1)
and one every ten days (May 1-
Oct 1). C. Licensed properties
must be 500 feet apart.
Savage License Annual $25
Two adults per bedroom, plus an
additional two adults. Accompanying
childrend don't count towards the
limit.
Two vehicles plus one
for each available
garage stall
Bedrooms only.
Property owner must
remain on-site during
rentals Not mentioned
Owner background checks. Only
12 licenses are issued annually in
the City (first-come).
Shoreview License Annual $150 Not specified Not specified All Not mentioned
If owner lives outside 7-county
metro, an agent who does is
required.
Short Term Rental Policies