Property owners beware: you cannot assume that you automatically have the right to rent your property on a short-term basis on online platforms such as the popular Airbnb.

Remember that The City of Cape Town regulates all land use within its jurisdiction. This regulation is structured in the Municipal Planning By-Law (MPBL) of 2015, together with the integrated Development Management Scheme (DMS) which sets out applicable zonings and development rights and rules.

The DMS does not specifically provide for the land use type of short-term rental/letting for transient accommodation as is offered by means of online platform Airbnb or similar platforms. What this means is that owners who would like to make any portion of their property available for short-term letting on an online platform such as Airbnb should first consult with a local land use planner to determine what land uses are permitted under the current zoning of their property and what land use application may be needed to allow for such short-term letting.

Owners of flats or apartments in a sectional title scheme may be required by the City to apply for a temporary land use departure for short term rental for transient accommodation.  It must be noted that owners will have to familiarise themselves with any restrictive condition in title, or in the case of a sectional title scheme, must obtain permission from the body corporate or compliance with requirements in any applicable Owners Association constitution.

Whilst is appears that the City of Cape Town has not been strictly enforcing the DMS, it is important that property owners or prospective purchasers wishing to advertise a property for short term rental bear the above in mind. FHA is a specialist property-law firm. Feel free to contact one of our attorneys for further advice or assistance.


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