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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:

What do Airbnb hosts actually earn in Grand Junction?

Grand Junction hosts earn a median $31,583/year with $148 ADR and 70% occupancy.

Top performers pull in $43,324+ per year.

See the full Grand Junction market breakdown

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.

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Grand Junction

Market Saturation Score

036912
Moderate Saturation
7/ 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 sits in the high desert landscape of western Colorado as the county seat of Mesa County and the largest city between Denver and Salt Lake City, with a population of roughly 65,000 to 70,000 residents. The community has a relaxed, outdoorsy character shaped by its position at the confluence of the Colorado and Gunnison rivers, surrounded by red sandstone canyons, agricultural valleys, and the broad flat-top of Grand Mesa. It functions as a natural basecamp for travelers exploring the western slope of the Rockies and the eastern edge of the Colorado Plateau, and lies approximately 250 miles west of Denver, easily reached in about four to five hours by car.

Just a short drive from the city, Colorado National Monument offers some of the most dramatic scenery in the region, with towering red-rock spires, deep canyons, and scenic Rim Rock Drive, a winding road that climbs to overlooks with views across the Grand Valley. The monument entrance is roughly 20 to 30 minutes west of downtown Grand Junction, making it a popular half-day or full-day excursion for visitors.

To the east of town rises Grand Mesa, a massive flat-topped mountain covered in aspen and evergreen forest, often described as one of the largest mesa formations in the world. About 30 to 45 minutes from downtown, it offers cool-weather escapes in summer, fishing lakes, hiking trails, and the famous scenic byway that crosses its top, providing a striking contrast to the warm valley below.

A short drive further east brings visitors to the small agricultural town of Palisade, known for its vineyards, orchards, and peach farms. Roughly 15 to 20 minutes from Grand Junction, the Palisade area is a popular stop for wine tasting, farmers' markets, and seasonal festivals that draw visitors from across the region.

To the west, the McInnis Canyons National Conservation Area near Fruita features slickrock terrain, remote canyon country, and the well-known Rattlesnake Arches trail, located about 30 to 40 minutes from downtown and popular with hikers and mountain bikers.

Grand Junction appeals to short-term rental investors because of its year-round visitor flow, anchored by outdoor recreation on all sides, a growing wine and agritourism scene, and its strategic position along the I-70 corridor between major Rocky Mountain destinations. With a compact downtown, walkable Main Street, and easy day trips in every direction, the city offers the kind of variety that supports both quick weekend stays and longer vacation itineraries.

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