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Grand Junction

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Grand Junction, CO

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STR Regulations for Grand Junction, Colorado

Overview: Are Short-Term Rentals Allowed in Grand Junction, CO?

Yes. Short-term rentals are permitted within Grand Junction city limits, but you must obtain a City short-term rental (STR) license, comply with the City’s STR regulations, and adhere to zoning and building standards. The City’s STR framework is set by Ordinance No. 5163 (adopted July 5, 2023), which amends prior regulations. Investors must distinguish between “primary” and “secondary” STRs and plan within density caps and zoning requirements. If your property is outside the City (i.e., in unincorporated Mesa County), see the Mesa County section below.

Key zoning note: STRs are allowed across most residential, mixed-use, and certain commercial districts within the City; they are prohibited in industrial and public zone districts (see permitted vs prohibited zone list below).

References:

How to Start a Short-Term Rental Business in Grand Junction

  • Confirm zoning:
    • Verify your property is in an allowed zone district (City GIS Development Map).
    • Check HOA/covenants; City zoning permission does not override private restrictions.
  • Apply for your City STR permit:
    • Submit online through the City portal (see “Links” section).
    • Pay the one-time application fee ($260).
  • Pass inspection and life-safety requirements:
    • Complete Mesa County Building Department inspection ($35).
    • Ensure compliance with building codes and life-safety standards (see list below).
  • Obtain your City STR permit and sales/lodging tax license:
    • The City issues both once inspection and application are approved.
    • Renew annually ($210 renewal fee) with a single City-wide expiration date (no proration).
  • Set up taxes:
    • Register for City sales and lodging taxes (see “Links” section).
    • Comply with all applicable state and federal tax obligations.
  • Prepare the unit:
    • Install and verify smoke/CO detectors, fire extinguisher, egress, posted notices, and parking plan.
  • Manage ongoing compliance:
    • Maintain a Local Responsible Party (LRP) within 20 miles.
    • Respect occupancy limits; handle taxes and complaints; renew annually.
  • Contact points:
    • City of Grand Junction Community Development (STR permitting/licensing).
    • Mesa County Building Department (life-safety inspections).
    • City of Grand Junction Sales Tax/Lodging Tax Division.

References:

Required Documents, Permits, Licenses, and Guidelines

City of Grand Junction

  • STR permit (valid 1 year; annual renewal required).
  • Application fee: $260 per property; renewal fee: $210.
  • Life-safety/building requirements (via Mesa County Building inspection):
    • Smoke detector in good working order.
    • Carbon monoxide detector in good working order.
    • Adequate/functional building egress from each sleeping room.
    • Fire extinguisher in good working order.
  • Floor plan showing all rooms, doors, and windows.
  • Site plan depicting other structures and guest parking areas; note rooms/structures not available to guests.
  • Property Owner Consent Form (if using a shared driveway or access).
  • Designated Local Responsible Party contact info (within 20 miles; authorized for inspections; keep updated).
  • Posted notice in a highly visible location, including:
    • Location of exits and fire extinguishers.
    • 24-hour emergency contact.
    • Parking areas and restrictions (no parking on lawns).
    • Noise restrictions and quiet hours.
    • Trash disposal instructions and schedule.
    • Maximum occupancy.
    • City STR permit number.
  • Sales and lodging tax license (issued with STR permit; see tax resources).
  • If food is prepared/served to guests: comply with Mesa County Health Department regulations.

Occupancy Limits

  • Maximum occupancy: two (2) persons per bedroom plus two (2) additional renters (including the operator), unless the Community Development Director authorizes a different limit based on unit size/configuration.

References:

Specific Regulations for Short-Term Rentals

City of Grand Junction

  • Definition: STR is a dwelling unit (full or partial) rented for fewer than thirty (30) consecutive days. Bed & breakfasts and rooming/boarding houses with stays under 30 days are STRs.
  • Zoning:
    • Allowed districts: R-R; R-ER; R-1R; R-2R; RL-4; RL-5; RM-8; RM-12; RH-16; RH-24; MU-1; MU-2; MU-3.
    • Prohibited districts: C-G; I-OR; I-1; I-2; P-1; P-2.
    • Note: Even if zoning permits, HOA/covenants may prohibit STRs.
  • Types of STR operations:
    • Primary STR: all bedrooms in a principal dwelling unit (excluding attached ADUs).
    • Secondary STR: less than all bedrooms in a principal dwelling unit, or an accessory dwelling unit.
  • Density caps and unit limits:
    • Downtown Area (North Ave to I-70B; Hwy 50 to N 17th St): no more than 7% of residentially zoned lots may have a primary STR.
    • Outside Downtown: no more than 3% of residentially zoned lots may have a primary STR.
    • Four or fewer units on a residentially zoned lot: allowed 1 primary STR and 1 secondary STR.
    • Five or more units on a residentially zoned lot: no more than 10% of units may be STRs, provided at least 1 STR is allowed.
  • Permits: 1-year validity; annual renewal; same City-wide expiration date; no proration.
  • Taxes: Sales and lodging tax obligations apply; third-party platforms often collect/remit lodging tax; independent hosts must collect and remit.
  • Enforcement: City regulations are codified in City code. For links to the specific code sections cited by the City (e.g., §21.04.030(d)(5) and §21.13.030), see “Links.”

References:

Mesa County (Unincorporated Areas)

  • Allowed housing types: single-family dwellings, townhomes, accessory dwelling units, and owner-occupied duplexes.
  • Prohibited accommodations: tents, RVs, temporary shelters, and other temporary occupancy provisions.
  • Length of stay: fewer than thirty (30) consecutive days.
  • Site Plan review: determines maximum occupancy based on bedrooms and parking.
  • Building and life-safety: smoke alarms, CO detectors, and no bedroom may be rented unless it meets egress requirements.
  • Parking: one parking space per bedroom plus one additional space.
  • Manager/representative: each vacation rental must have a local manager/representative available at all times when rented to handle emergencies, conflicts, and other issues.
  • Complaints: more than three (3) formal, verified nuisance, health, and/or safety complaints in a calendar year can result in Site Plan approval revocation.
  • Health/safety inspections and business licensing: vacation rentals are subject to the same inspections, licenses, registrations, fees, and taxes as other lodging businesses.

Reference:

Note on Colorado State Regulations

  • The provided materials focus on City and County rules. If you require state-level guidance (e.g., Consumer Protection rules for lodging platforms or state lodging tax administration), consult Colorado state resources directly; the City/County pages above do not link to a state-level STR statute.

Contact Information

City of Grand Junction

Links to Source Pages

If you’d like, I can draft a compliance checklist or an occupancy/parking calculation worksheet tailored to your unit type and location.

Grand Junction

Market Saturation Score

036912
Moderate Saturation
6/ 12
months with declining YoY revenue
5–7 declining months: moderate saturation risk - market may be nearing capacity.
View Full Grand Junction Market Analysis →

Photos of Grand Junction

Overview of Grand Junction

Grand Junction, Colorado, is a picturesque city located in the western part of the state. With a population of approximately 65,000 people, it serves as the largest city in Mesa County. Grand Junction is about 243 miles west-southwest of Denver, the closest major city, making it a relatively remote yet accessible location.

The city's appeal for short-term rentals is considerable due to its unique blend of outdoor activities, natural beauty, and cultural attractions. One of the most notable landmarks is the Colorado National Monument, a stunning expanse of canyons and rock formations (visit here for more information). Additionally, the Grand Mesa, touted as the largest flat-topped mountain in the world, offers numerous trails, lakes, and outdoor recreation opportunities (more details here).

Wine enthusiasts can explore the nearby Palisade area, known for its vineyards and wine tours, while downtown Grand Junction boasts a vibrant arts scene, restaurants, and shops. The city's location at the confluence of the Colorado and Gunnison rivers also provides excellent opportunities for water-based activities, from fishing to kayaking.

Given its diverse attractions and relative proximity to the amenities of Denver, Grand Junction is an appealing destination for short-term renters looking to experience the rich natural and cultural offerings of Western Colorado.

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