How Breckenridge distinguishes exempt short-term rentals from lodges and hotels

Beaver Run Resort & Conference Center is pictured on Sunday July 11. With the Town of Breckenridge’s new regulatory short-term rental fee, Beaver Run will have to pay the town just under a quarter of a million dollars in early 2022.
Lindsey Toomer / Daily News Summit

With the town of Breckenridge passing its new regulatory short-term rental fee, properties previously exempt from administration fees will now be required to pay the city $ 400 per room starting January 1, 2022.

The only short-term accommodation properties exempt from the royalty are those registered as a lodge with the city, which applies to traditional hotels wholly owned by a person or company.

“According to our municipal code, a lodge is a property with multiple rental units owned by a single entity,” said Accommodation Compliance Administrator Bela Del Valle. “… Breckenridge doesn’t have many.”

Del Valle said lodges will always have a different type of business license and they don’t need short-term rental licenses. The properties that currently hold a Lodge license in Breckenridge are DoubleTree by Hilton, Breck Inn, Skiway Lodge, Residence Inn by Marriott, Fireside Inn, Bivvi Hostel, Gravity Haus and Welk Resorts.

Previously, properties with short-term rental licenses that had 24-hour reception, security, and telephone service were exempt from administrative fees. Examples of exempt properties include Beaver Run Resort, Crystal Peak Lodge, Grand Colorado on Peak 8, Main Street Station, Mountain Thunder Lodge, and One Ski Hill Place. These properties are still exempt from the new license cap of 2,200, but are not exempt from regulatory fees.

Distinguishing which properties fall under which definition can be confusing, as some that are named after hotel companies are not actually lodges. For example, Marriott owns both the Residence Inn, which is a lodge, as well as the Mountain Valley Lodge, which includes individually rated units. Mountain Valley Lodge units therefore require a short term rental permit and are subject to the new charge.

“If there is a unit that has an individual owner and it is a unit that is used for short term rental – any rental for 30 days or less – that type of unit and property requires a license to short term rental with the Town of Breckenridge so they can rent, ”said Del Valle.

The same goes for timeshares. When a person decides not to use a timeshare for their allotted time, the business or owner will usually advertise the unit for rent publicly.

“If anyone other than a notarized timeshare owner is using the unit for any consideration, a hosting license is required,” Del Valle wrote in an email. “Historically, all of our timeshares have been licensed because their operating model allows for short-term unit rentals.”

Del Valle also said that a new license application is expected every time an exempt short-term rental unit changes owners. Although fees are charged per room, only one license needs to be issued per unit.

If an individual owner of a condo wants to rent it out himself, he will need a permit.

“Not everyone in the Highlands needs to have a short-term rental permit to live there, but if there is someone in the neighborhood… who wants to rent short-term, they must have a permit. “said Del Valle.

Beaver Run General Manager Bob Barto said Beaver Run shares a percentage of the profits with the owner whose condo was used when a condo is rented short-term. He said Beaver Run manages the majority of its units, but some have external management as well.

Barto, who is also on the city’s Tourism Overlay Task Force, has previously expressed concerns about the new fees to the council, especially given the fact that Beaver Run has spent around $ 2.3 million since then. 2015 to accommodate its own workforce. The fee is intended to create more housing opportunities for the workforce through a variety of municipal programs currently in place, but Barto said he would also like other industries to help with housing the workforce. -work.

Barto said Beaver Run has 413 short-term rental units. He estimated that if Beaver Run had 600 rooms in short-term rental units, the resort would have to pay the city just under a quarter of a million dollars in early 2022. He also noted that rentals at Short-term non-exempt were already paying fees that could increase, but previously exempt properties have a whole new expense to budget for.

“I hope we will fix this problem,” Barto said. “They’ve already compromised from $ 756 to $ 400 for the first year. We have to work with the city to make the most of it. … Short-term rentals are very complicated, and it will take time to get there.

About Michael B. Billingsley

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