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Council OKs 90-moratorium on new short-term rentals, bed-&-breakfasts in city

Councilman Joe Buckman discusses the proposed 90-day moratorium on applications for new short-term rentals and bed-&-breakfasts in the city limits.

By JIM BROOKS
Nelson County Gazette / WBRT Radio

Tuesday, Sept. 26, 2023 — The Bardstown City Council gave its initial approval to a 90-day moratorium on applications for new short-term rentals and bed-and-breakfasts in the city limits.

The move comes at the request of the Joint City-County Planning Commission and the Bardstown Board of Adjustments, both of which have seen a dramatic increase in interest in short-term rentals in Bardstown and a flood of applications for creating additional new units.

Part of the reason for the increase goes back to February 2023, when AirDNA named Bardstown No. 15 of its Top 20 places to invest in short-term rental properties. That national listing helped fuel the increase in investors seeking to purchase houses in the Bardstown area for short-term rentals.

The 90-day moratorium will allow the commission to re-examine and update its existing regulations governing short-term rentals.

The council gave initial approval for a three-month moratorium at its meeting Tuesday evening. The moratorium affects applications for both new short-term rentals and bed-and-breakfasts in the city limits.

The proliferation of short-term rentals is seen as a threat to the residential character of city neighborhoods, Heaton explained.

The growing number of short-term rentals are reducing the amount of housing available on the market for permanent residents to purchase. The demand for short-term rentals has led to rising real estate prices and reduced the availability of affordable housing.

Currently, there are 78 short-term rentals in the city and 141 in the county, Heaton said.

The moratorium won’t affect existing short-term units or bed-and-breakfasts.

Councilman Joe Buckman said the moratorium is needed to allow the commission and the committee to slow things down and determine the best way to move forward. Too many short-term rentals in a neighborhood can turn a residential neighborhood into a hotel district, he said.

NEXT UP. The city council will meet at noon on Thursday, Sept. 28, 2023, to give the moratorium its final approval,

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