🎯 STRisker: Bulletin - Columbia, SC

Columbia Reboots Short-Term Rental Rules After Yearlong Pause

Columbia’s approach to short-term rentals is entering a new chapter and this time, the boundaries are clearer. After months of debate and a yearlong pause on new permits, the Columbia City Council has unanimously approved amendments that significantly tighten where new short-term rental (STR) properties can operate within city limits.

At the heart of the change is location. Under the newly approved amendment, new short-term rentals will now be limited to areas zoned for commercial or mixed use, effectively closing most residential neighborhoods to future STR development. City leaders say the goal is simple, protect the interior of residential neighborhoods while still allowing STRs in areas designed to handle higher levels of activity.

The decision follows a one-year moratorium on new STR permits, enacted after a deadly shooting last June at a short-term rental property in the Elmwood Park neighborhood. That incident accelerated calls for clearer rules and sparked months of public discussion about safety, neighborhood character, and the role STRs play in the city.

There is, however, one notable exception. Short-term rentals may still operate in residential districts if the property is located along a four-lane road. City officials say these corridors function more like commercial buffers and are better suited to short-term rental activity than interior neighborhood streets.

Mayor Daniel Rickenmann framed the ordinance as a compromise rather than a crackdown. Mixed-use areas where housing, retail, and offices already coexist are still open to STRs, while residential cores are shielded from new entries. Existing short-term rentals, regardless of location, are grandfathered in and may continue operating under current rules.

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Still, not everyone walked away satisfied. Several STR owners spoke during the meeting, arguing the amendment swings too far toward restriction. Some warned that limiting new rentals almost exclusively to commercial zones could stifle responsible operators and reduce housing flexibility.

Adding another layer to the discussion, City Council is also considering loosening restrictions for owner-occupied short-term rentals. The idea would allow homeowners to rent out part of their primary residence under less stringent standards than full-home rentals.

That portion of the ordinance is not finalized yet. The Planning Commission is scheduled to review owner-occupied STR provisions on January 15.

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