Manhattan Beach, California Short Term Rental Regulations Guide for Airbnb hosts

Overview: Are Short-Term Rentals Allowed?

Short-term rentals are largely prohibited in Manhattan Beach, California, with one critical exception. The City maintains a comprehensive ban on short-term rentals (defined as rentals less than 30 days) in all residential zones. However, on April 4, 2022, the Court of Appeal issued a significant ruling that the City's ban does not apply to properties within the Coastal Zone, creating a limited pathway for STR operations in those specific areas.

For properties outside the Coastal Zone, the prohibition is absolute - short-term rentals are strictly forbidden in residential zones, and the ban extends to renters, lessees, and even the maintenance of advertisements for such rentals.

What do Airbnb hosts actually earn in Manhattan Beach?

Manhattan Beach hosts earn a median $78,986/year with $384 ADR and 73% occupancy.

Top performers pull in $126,517+ per year.

See the full Manhattan Beach market breakdown

How to Start a Short-Term Rental Business in Manhattan Beach

Step 1: Determine Coastal Zone Eligibility

Before proceeding with any STR investment in Manhattan Beach, you must first determine if your property is located within the Coastal Zone. This is mandatory because:

Coastal Zone properties: May be eligible for short-term rental operations despite the general ban
Non-Coastal Zone properties: Short-term rentals are prohibited regardless of property type

Action Required:

Consult the City's Zoning Map
Use the City's Interactive GIS Map (click "I Agree" to access)
Contact the Planning Division at (310) 802-5520 for definitive confirmation

Step 2: Obtain Business License

All short-term rental operations must obtain a business license from the City's Revenue Services Division before commencing operations. This requirement applies regardless of property location within the city.

Business License Process:

Apply through the Finance Department's Revenue Services Division
Complete all required application forms
Pay applicable fees
Maintain current license status

Step 3: Comply with Tax Requirements

All STR operators must:

Levy, collect, and remit Transient Occupancy Tax (TOT) to the City
Register for TOT collection
File regular tax returns
Maintain accurate financial records

Step 4: Verify Zoning Compliance

Even in the Coastal Zone, ensure your property:

Complies with all zoning requirements
Meets building and safety standards
Obtains any necessary permits for commercial use

Required Documents, Permits, Licenses, and Guidelines

Essential Documentation

Business License (required for all STR operations)
- Issued by Revenue Services Division
- Must be renewed annually
- Display requirements may apply
Transient Occupancy Tax (TOT) Registration
- Required for collecting and remitting TOT
- Registration with Finance Department
- Monthly/quarterly filing requirements
Coastal Zone Documentation
- Proof of Coastal Zone location (if applicable)
- May require Coastal Commission permits for certain properties
Property Compliance Documentation
- Building and safety clearances
- Zoning verification letters
- Insurance documentation

Additional Guidelines

Hosting Platform Responsibilities: The City has established requirements for platforms that advertise short-term rentals
Advertisement Restrictions: Outside the Coastal Zone, maintaining STR advertisements is prohibited
Inspection Requirements: Properties may be subject to inspection for safety and compliance

Specific Regulations by Jurisdiction

City of Manhattan Beach

General Prohibition:

Short-term rentals (less than 30 days) prohibited in all residential zones
Prohibition extends to renters, lessees, and property owners
Ban includes maintaining advertisements for prohibited rentals

Coastal Zone Exception:

Court of Appeal ruling (April 4, 2022) exempts Coastal Zone properties from the ban
Properties must still comply with all applicable business license and tax requirements
Local Coastal Program requirements may apply

Commercial Districts:

Hotels, motels, time-share facilities, and residential hotels may operate as "commercial use" in specified commercial districts
Requires valid business license and TOT compliance
Subject to Title 10 of the Manhattan Beach Municipal Code

Los Angeles County

No specific county-level regulations identified in the provided content for Manhattan Beach STR operations.

State of California

Residential Tenancy Laws:

In California, residential tenancy may be created after 30 consecutive days of occupancy
This establishes the legal foundation for the 30-day minimum stay requirement
Local laws may differ from state laws regarding residential tenancies

Coastal Act Compliance:

Properties within the Coastal Zone must comply with California Coastal Act requirements
May require Coastal Commission approval for certain improvements or uses

Enforcement and Penalties

Administrative Remedies

The City has established administrative remedies for STR violations
Code Enforcement Division handles violation investigations
Administrative subpoenas may be issued to obtain listing information

Violation Consequences

Administrative citations
Monetary penalties
Business license suspension or revocation
Court action for persistent violations

Contact Information for Local Authority

Planning Division (Zoning Inquiries)

Phone: (310) 802-5520
Purpose: Determine Coastal Zone eligibility, zoning compliance, property eligibility questions

Code Enforcement

Email: jharris@citymb.info
Phone: (310) 802-5518
Purpose: STR enforcement related inquiries, violation reporting

Revenue Services Division (Business Licenses/TOT)

Phone: (310) 802-5000
Website: Business License Information
Purpose: Business license applications, TOT registration, tax collection questions

General City Contact

Main Number: (310) 802-5000
Address: 1400 Highland Avenue, Manhattan Beach, CA 90266
Website: www.manhattanbeach.gov

City Council (Policy Questions)

Website: Mayor and City Council
Purpose: Policy questions, community concerns

Source Links

Investment Considerations and Risk Factors

High-Risk Factors

Regulatory Uncertainty: Court decisions may be subject to further legal challenges
Limited Market: Only Coastal Zone properties are potentially viable for STR operations
Strict Enforcement: The City has demonstrated willingness to aggressively enforce regulations
Changing Regulations: Local ordinances and court interpretations may evolve

Due Diligence Requirements

Legal Confirmation: Obtain written confirmation of Coastal Zone status from City Planning Division
Insurance Verification: Ensure adequate coverage for STR operations
Property Condition Assessment: Verify all building and safety standards compliance
Financial Projections: Account for business license fees, TOT collection/remittance, and potential enforcement costs

Alternative Strategies

Consider long-term rental strategies (30+ days) to avoid STR regulations entirely, or explore investment opportunities in adjacent communities with more permissive STR regulations.

Disclaimer: This guide is based on information available as of the content provided. STR regulations are subject to change through court decisions, city ordinance amendments, and state legislation. Investors should verify current requirements with the City of Manhattan Beach before making investment decisions.

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Ask the AI Advisor about Manhattan Beach

Manhattan Beach is a small, affluent coastal city in Los Angeles County, California, home to roughly 35,000 residents. The city has long been associated with a polished yet laid-back Southern California surf culture, with a thriving downtown shopping and dining district, wide sandy beaches, and a reputation for beach volleyball and outdoor fitness. It is best known as a getaway in its own right rather than a gateway to another destination, though it sits within easy reach of the greater Los Angeles area. Manhattan Beach lies approximately 20 miles southwest of downtown Los Angeles, with the sprawling South Bay stretching in either direction along the Pacific coast.

The Manhattan Beach Pier is the city's most recognizable landmark and a focal point of the community. Extending into the Pacific at the foot of downtown, the pier is home to the Roundhouse Marine Studies Lab and Aquarium, a small but popular attraction where visitors can peer into local tide-pool life. The pier area anchors a wide strand of beach that hosts public volleyball courts, a paved Strand path for walking and cycling, and regular lifeguarded swimming areas. The pier is essentially at the heart of the city, just a short walk or bike ride from nearly anywhere in town, and a central reason visitors are drawn to Manhattan Beach in the first place.

Just south of the pier, the Downtown Manhattan Beach shopping and dining district along Manhattan Beach Boulevard and surrounding streets offers boutiques, ocean-view restaurants, and coffee shops that cater to both locals and visitors. The area is walkable, lively in the evenings and on weekends, and provides a convenient base for travelers who want a beachside experience without needing a car for every outing.

A short drive north along the coast brings visitors to other South Bay highlights, including the town of Hermosa Beach and the larger harbor and beach areas around Redondo Beach. Inland, the broader South Bay region offers quick access to attractions such as the South Bay Galleria in Redondo Beach and the coastal wetlands and trails around the Ballona Wetlands Ecological Reserve, which lies about 20 minutes northwest of Manhattan Beach. For those willing to venture farther, downtown Los Angeles, with its museums, restaurants, and sports venues, is roughly 30 to 40 minutes away depending on traffic, while LAX is only a few miles to the north, making Manhattan Beach an especially convenient stop for travelers flying in or out of the region.

Manhattan Beach is a compelling base for short-term rentals because it combines the appeal of a small, walkable beach town with the conveniences of a major metropolitan area nearby. Visitors can spend their days on the sand, on the Strand, or in the local dining scene, and still easily reach the wider Los Angeles region's attractions, airports, and business centers. The combination of consistent coastal appeal, year-round mild weather, and proximity to one of the country's largest urban markets gives the city a steady and diverse draw for travelers.