LOUDONVILLE — Conversations at Loudonville Village Council’s meeting Monday centered on a proposal that could change the rules for short-term rentals.
Council is considering a tourist home ordinance that would create new permits and cap the number of short-term rentals at 25.
The proposal raised concerns from short-term rental owners who said the new rules would change how they operate and could affect Loudonville’s tourism economy.
The ordinance was not approved Monday.
“We’re not going to vote on this tonight,” said Councilman Bill Huffman. “We’re going to get everybody’s comments and go back through it.”
Below is a PDF copy of the proposed legislation. No formal action was taken by council on the ordinance Monday evening. The story continues below.
Why a 25 short-term rental cap?
Loudonville has about 23 short-term rentals within the village.
Village Solicitor Thom Gilman said the proposed cap was based on regulations in other communities. Those communities typically limit short-term rentals to make up between 2 and 5 percent of available housing.
Sam Shrock, of Shrock Real Estate, questioned whether the village needs a hard cap at all.
“When there’s too much supply for the demand, bookings drop,” Shrock said. “Then there’s less occupancy and people just get out or go back to long-term rental.”
Shrock said he has hosted about 10,000 guests during the past three years. He said the village should consider the market’s natural supply-and-demand before limiting future investment.
The proposed changes also address where short-term rentals can operate, Gilman said.
Some existing rentals are located in residential zoning districts where the village does not intend to allow new tourist homes.
Existing owners need permits
Jillian Raby, owner of Raby Hardware, has two Airbnb properties in Loudonville. She has been hosting guests since 2015.
Raby said she already has bookings scheduled through late July 2027.
“There’s a lot of gray areas in this ordinance,” Raby said.
The proposed cap could prevent someone from opening a short-term rental in an area where the village wants more tourism because other properties already hold permits, she said.
Raby also asked what happens when an existing owner stops operating a short-term rental and later wants to return to the market.
Tracy Kauffman of Howard Hanna and TK Property Management Services said she has heard similar concerns from property owners she works with.
“A lot of these owners have invested, spent a lot of time, a lot of money into these properties,” Kauffman said. “Right now, they’re feeling like they’ve just been kind of slapped for that.”
The village needs to make the rules clear for existing owners and people considering buying property in Loudonville, she said.
Tourism versus regulation
Short-term rental owners said their properties can bring more visitors into Loudonville and send those visitors to local businesses.
Raby said she has seen Airbnb guests contribute to downtown businesses during their stays.
The village is also considering zoning changes that would allow more tourist homes in downtown areas.
That could create a conflict if the village reaches its 25-property limit. A new short-term rental downtown could be denied even if the property meets the village’s zoning and safety requirements.
The proposed ordinance would also require every short-term rental to obtain a village permit. Existing properties could retain their zoning status under Ohio’s rules for pre-existing nonconforming uses, but they still would need to comply with the proposed permitting system.
Council members said the permitting process is meant to give the village more control of short-term rentals and ensure that properties meet safety standards.
Back to the drawing board
Council members said the proposed ordinance is still a work in progress.
Huffman encouraged residents and property owners to submit their questions and concerns to the village as council reviews the proposal.
“This was just a start,” Huffman said.
The ordinance will return to council for more discussion and multiple readings before members take a final vote.
The discussion now focuses on how Loudonville can regulate short-term rentals while also encouraging tourism and investment.
“We’ll be getting back to the drawing board on this,” Huffman said.
Loudonville Village Council meets on the first and third Monday of each month at 6 p.m. Meetings take place on the second floor of Loudonville Village Hall, 156 N. Water St.
