Executive overview

• Are short-term rentals allowed in Danville? Explicitly: No, short‑term rentals (rentals for fewer than 30 days) are prohibited in single‑family and two‑family zoning districts in Danville. The Town codified this prohibition via Ordinance No. 2016‑02 (2016) and reaffirmed and clarified it with Ordinance No. 2024‑06. The 2024 ordinance added explicit “Prohibited Uses: Short term rentals” language in both the Single Family Residential Districts (Section 32‑22.4.5) and the D‑1 Two‑Family District (Section 32‑23.4.5). The statutory prohibition is active and enforceable. Municipal code sections cited in this guide are current as of the provided code version (11/15/2019), with the 2024 prohibition codified thereafter.

Important investor note: Because STRs are prohibited in the core residential zoning categories in Danville, there is no lawful pathway to operate a new short‑term rental in those zones. Investors should not rely on unverified online listings that suggest otherwise; enforcement actions and penalties may result for non‑compliant operations.

How to start a short‑term rental business in this market

• Legal path: There is currently no legal way to start a new STR in single‑family or two‑family zoning districts in Danville. Those districts explicitly prohibit “short term rentals.”
• Alternatives within Danville’s zoning framework:
  • Bed & Breakfast (B&B): A B&B is a permitted conditional use in single‑family districts (subject to a Land Use Permit and/or Development Plan Permit per Section 32‑22.4, subsection d). B&Bs are limited to no more than five (5) rooms available for commercial use per the code’s definitions and must satisfy operational and development standards (see Section 32‑22.5 and other applicable sections).
  • Long‑term rentals (≥30 days): Traditional residential leases of 30 days or more are consistent with the residential use of the property and are not subject to the short‑term rental prohibition.
  • Multi‑family districts: The 2016 ordinance prohibited STRs in all residential zoning districts. The 2024 ordinance restored explicit prohibitions in single‑family and two‑family districts but does not contain language authorizing STRs in multi‑family districts. Because the broader ban in residential areas was never repealed, investors should not assume STRs are permissible in multi‑family zones without separate, current Town authorization; verify with Planning before pursuing.
• If you believe your property may qualify for a permitted alternative (e.g., B&B), submit a Land Use/Development Plan Permit application through the Planning Division. Early pre‑application consultation is recommended.

Required documents, permits, licenses, and guidelines

• For short‑term rentals: None. STRs are prohibited in single‑family and two‑family zoning districts. No Town business license, registration, or permit can be used to legitimize an STR in those districts.
• For Bed & Breakfast (B&B) in single‑family districts:
  • Land Use Permit and/or Development Plan Permit (required per Section 32‑22.4, subsection d).
  • Consistent with the B&B definition (no more than five rooms).
  • Site and operations must comply with:
    • Section 32‑22.5 (Standards for Specific Land Uses) as applicable to other uses (e.g., Home Occupations standards offer useful guidance on on‑site appointments, hours, signage, parking, and neighborhood compatibility).
    • Section 32‑22.13 (Off‑Street Parking) — each single‑family lot must maintain minimum two off‑street parking spaces in an enclosed garage that meets district standards.
    • Any other applicable Town ordinances, building codes, and fire/health regulations.
• For Accessory Dwelling Units (ADUs): ADUs are permitted subject to Section 32‑76 (Accessory Dwelling Unit Ordinance) and related development standards; rental terms for ADUs are governed by state law and Town ordinance. ADUs do not override the STR prohibitions in single‑family and two‑family districts.
• Business licensing and zoning compliance: If operating any lawful home‑based business (e.g., B&B), coordinate with the Town’s Business License process and ensure full zoning compliance. The Planning Division can confirm which permits apply to your use and location.

Specific regulations for STRs (city, county, and state)

• Danville (Town) regulations:
  • Ordinance No. 2016‑02 (adopted 2016): Prohibited short‑term rentals (less than 30 days) in all zoning districts allowing residential uses.
  • Ordinance No. 2024‑06 (adopted May 21, 2024): Reinstated explicit prohibition language for single‑family and two‑family zoning districts:
    • Section 32‑22.4.5 (Single Family Residential Districts) — Prohibited Uses: “Short term rentals.”
    • Section 32‑23.4.5 (D‑1 Two‑Family District) — Prohibited Uses: “Short term rentals.”
  • Effective date: The ordinance became effective 30 days after adoption.
  • Enforcement: Code Enforcement actions are anticipated for violations of the prohibition.
• Multi‑family zoning: The 2016 ban applied to all residential districts; the 2024 ordinance restored prohibitions in single‑family and two‑family districts but does not create an authorization for STRs in multi‑family districts. Given the lack of a subsequent repeal of the 2016 ban for residential districts, investors should not assume STRs are permitted in multi‑family zones without explicit Town authorization.
• Related Danville residential standards that affect any lodging‑type use:
  • Section 32‑22.5 (Standards for Specific Land Uses) — includes detailed operational standards for certain home‑based uses (e.g., appointment‑only, hours of operation, signage, parking, and neighborhood compatibility), which serve as useful benchmarks for B&B operations.
  • Section 32‑22.13 (Off‑Street Parking) — two off‑street parking spaces per single‑family lot in an enclosed garage meeting dimensional standards.
• Contra Costa County: The provided sources do not specify any county‑wide short‑term rental requirements that would supersede Danville’s prohibition. County health permits may be relevant for certain food service aspects of a B&B.
• California state law:
  • No state‑level requirement mandates cities to allow STRs. Municipalities retain local land use authority over short‑term rentals.
  • ADU law (State of California) governs accessory dwelling units; Danville codifies ADU standards in Section 32‑76. Even if an ADU is lawful, STR operations remain prohibited in the single‑family and two‑family zoning districts per local ordinance.

Prohibited uses and compliance reminders

• Short‑term rentals (fewer than 30 days) are a prohibited use in:
  • Single‑Family Residential Districts (Section 32‑22.4.5).
  • D‑1 Two‑Family District (Section 32‑23.4.5).
• Potential consequences for non‑compliant STR operations include code enforcement action and penalties. Due to the explicit prohibition, no business license, transient occupancy tax registration, or other Town authorization can be used to operate an STR in these districts.

Local authority contacts (Town of Danville)

• Planning Division (land use permits, zoning questions, ADU ordinance inquiries)
  • Phone: 925‑314‑3480
  • Website: www.danville.ca.gov
• Code Enforcement Division (violations of zoning prohibitions, STR enforcement)
  • Phone: 925‑314‑3450
• Town Clerk (ordinance records, public records)
  • Phone: 925‑314‑3351
• Building Division (building permits, safety, and compliance)
  • Phone: 925‑314‑3330
• Business Licensing
  • Phone: 925‑314‑3357

Links to source pages

• Ordinance No. 2024‑06 Administrative Staff Report (Danville Town Council, May 7, 2024) — STR prohibition in single‑family and two‑family zoning districts (ZTA 24‑0001): danville-ca.granicus.com/MetaViewer.php?view_id=9&clip_id=3259&meta_id=58518
• Danville Municipal Code, Chapter XXXII Planning and Land Use (Single Family Residential Districts) — includes Section 32‑22.4.5 “Prohibited Uses: Short term rentals,” definitions (including “Bed and Breakfast”), and related standards: www.danville.ca.gov/DocumentCenter/View/3943
• News coverage of the original STR ban (Feb 18, 2016): www.smdailyjournal.com/news/local/short-term-rentals-banned-in-danville/article_1d35a060-d42f-520c-b62f-3f408534cf8d.html

Investor strategy checklist

• Confirm your zoning district (e.g., single‑family, two‑family, or multi‑family) on the Town’s zoning maps before considering any lodging operation.
• If your property is in a single‑family or two‑family district, do not pursue STRs; they are explicitly prohibited.
• If you are interested in a B&B, apply for the required Land Use/Development Plan Permit and demonstrate compliance with parking, operational standards, and neighborhood compatibility.
• For ADUs, review Section 32‑76; ADUs are a separate land use and must adhere to ADU rules. Rental of an ADU on a short‑term basis remains subject to the STR prohibition in these districts.
• If in a multi‑family zone, seek written confirmation from Planning regarding the current status of STRs. Assume STRs are prohibited unless and until the Town enacts an authorizing ordinance.
• Maintain all licenses and permits; plan for ongoing compliance to avoid enforcement action.

Bottom line for investors

• Danville prohibits short‑term rentals in single‑family and two‑family zoning districts. With no local STR ordinance currently in effect to permit such uses in those areas, there is no viable path to launch a new STR business there. Investors should evaluate lawful alternatives (e.g., a properly permitted B&B, long‑term rentals) or consider markets with permissive STR frameworks.