Property owners and holidaymakers in one of Victorias most popular destinations face fees and restrictions under new code of conduct laws.
Mornington Peninsula Shire is about to force residents putting a property on sites like Airbnb and Stayz to pay a registration fee, and make sure their guests are well-behaved.
The fee, set at $100 this year, will also fund resources such as security patrols.
Under the councils Short Stay Rental Accommodation Local Law, owners must let neighbours know in writing that their property is on a short-term rental site and ensure that anyone renting their property sticks to a strict code of conduct.
The code includes:
Ensuring guests do not use outdoor areas such as pools and balconies after 11pm and before 7am
Ensuring guests do not behave aggressively, scream, yell or fight, and
Ensuring guests do not make excessive noise such as cheering, clapping and singing
Mornington Peninsulas new law was adopted by the council in May this year, with residents and property owners officially informed in rates notices this week.
The move could cause consternation for thousands of property owners and their guests – the Mornington Peninsula is the third-most popular destination for short-term rentals in Australia. Each year more than 1.6 million people take a short break in the area.
It could also cause issues for the council, according to David McKenzie, principal lawyer with LMG Law, and co-chair of the Law Institute of Victorias property law committee.
He anticipated a challenge to the councils laws could have a similar outcome to a challenge about Docklands short-stay leases recently. Watergate building owner Paul Salter won the right to rent apartments to short-stay tenants despite challenges by the City of Melbourne under their building regulations and further challenges by the owners corporation.
“I think theyve got some problems,” Mr McKenzie said. “I would think theres some real legal questions.”
The councils regulations and code of conduct have been dubbed “draconian” by local owners of short-term rentals in the shire.
Sorrento, Mornington Peninsula. Photo: iStock
Belinda Rodman owns a property at Marthas Cove in Safety Beach and has already registered her accommodation to continue renting her property on Airbnb. She said she is one of many property owners who use their property as a holiday home for her family, and a short-term rental.
“I think the shire has way over-reacted – there were some houses down on the beaches that were party houses and theres no doubt that would have been disruptive to neighbours. But to punish everyone with short-term accommodation, I dont think thats fair,” she said.
“What if its me going to use my accommodation?” she asked of the curfew. “How do they know its me or its one of my guests? What if theyre just actually sitting there [on the balcony] making no noise?”
The local law states that three substantiated complaints over a rolling 12-month period (or one complaint where a serious incident occurs) would see properties de-registered and owners potentially fined more than $3000.
Airbnbs head of public policy for Australia and New Zealand, Brent Thomas, said the rules were akin to a “lock-in law”.
“We want to partner with Mornington Peninsula Shire Council to ensure our community grows sustainably and responsibly, but councils changes including a new “lock-in law” are a step too far.
“Put simply, this new local law with its red-tape and government-imposed curfew just doesnt get the balance right,” he said.
“Our community believes there is a better way, and is ready to work with the council on developing truly fair rules that protect peoples rights and grow the local economy, but also appropriately manage rare instances of bad behaviour.”
Deputy mayor Kate Roper said the law was needed due to the number of complaints — including serious incidents — being reported to council about the behaviour of guests.
“Most of it is good but some have been a nightmare for neighbours,” Cr Roper said.
“People have been hospitalised with stress … some people are too scared to complain and some have had rubbish and bottles thrown at them.
Mornington Peninsula Deputy mayor Kate Roper
She said problem “party houses” were usually dotted along the beach-adjacent suburbs with dozens of young guests and their cars causing issues for permanent residents.
“People have been hospitalised with stress … some people are too scared to complain and some have had rubbish and bottles thrown at them,” she said.
Cr Roper said the local law was aimed at property owners who werent ensuring their short-term guests were behaving. Not at those with renters whose behaviour had caused no issues.
She said the original proposed code of conduct had already been tweaked and the council would consider further changes in the future if the need arose.
Mayor Bryan Payne said part of the registration fees would be used to fund a security company to watch over properties.
“Theyll come out seven days a week, 24 hours a day and assist the police if theres any need and see if the complaint is a genuine complaint,” Cr Payne said.
Registrations are due by the end of September. Cr Payne expects at least 5000 properties to be registered.
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