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Portland city councilors approve short-term rental cap, affordable housing projects

Councilors unanimously approved a 1.5 percent cap on short-term rental units in the city.

PORTLAND, Maine — Changes to short-term rental units are part of a series of decisions made by the Portland City Council during Monday night's meeting. 

Councilors unanimously approved a new cap on the number of Airbnb-style rentals in the city. 

"Preserving Portland's long-term housing stock was really a key goal," Portland City Councilor Kate Sykes said. 

The city now allows 1.5 percent of its roughly 18,000 rental units to be short-term. It adds up to about 270 units. Previously, the limit was set at 400 units.

Councilors say current landlords won't lose their licenses.  

"It's a great start," Wes Pelletier, a housing advocate, said. "Families around Portland, especially our working-class families, are being hollowed out and forced to move because of these short-term rentals that are really taking up a lot of the housing stalk that should be going to renters."

In the wake of this vote, owners of short-term rentals are pointing out they're a major part of the local economy.
 
"The Maine Office of Tourism estimates nearly three-quarters of a billion dollars is spent by visitors to the Greater Portland area who stay in vacation rentals," Chris Korzen, a short-term rental host, told NEWS CENTER Maine.

Korzen said he was not necessarily opposed to the new cap but would prefer to see it at around two percent of the total rental stock. It was suggested by Portland City Councilor Roberto Rodriguez. 

In addition to the rental unit cap, councilors approved two affordable housing projects. 

The council halted an effort that would have put a minimum wage increase on the November ballot. 

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