Revised rules will restrict many new short-term vacation rentals in Chattanooga to commercial areas that allow hotels, and a group of operators said they intend to sue the city, with a member claiming the update violates their rights as property owners.
“I think that it dramatically affects and burdens private property rights because they’re taking the entire use of somebody’s property away, which is a constitutional right,” Brad Wardlaw, who owns a short-term vacation rental in Chattanooga, said in a phone call.
He was referring to an ordinance sponsored by Chattanooga Mayor Tim Kelly’s administration that the City Council unanimously approved Tuesday. It was the panel’s latest crack at adjusting the city’s rules since enforcing a temporary pause on certain new permits in April 2022, which is set to end in July.
However, supporters of the changes argue they will help prevent vacation rentals from overrunning local communities and will allow the city to better clamp down on the numerous illegal units operating in Chattanooga.