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Airbnb in Hermosa Beach: the ban that fell in the coastal zone and the city's new registration rule

For ten years, renting out a home for less than 30 days in Hermosa Beach's residential areas was prohibited. In 2026, a court struck down the ban in the coastal zone, the city decided not to appeal and drafted a registration ordinance. What changed, what still applies and what to check before buying with rental income in mind.

Episode 12 • Part 4 of 5
Airbnb em Hermosa Beach: a proibição que caiu na zona costeira e a nova regra de registro da cidade
Bedroom prepared for a guest in a South Bay beach house — California (illustrative image)

Few questions reach beach-city realtors as often as this one: can I buy and put it on Airbnb? In Hermosa Beach, the answer changed in 2026 — and it changed precisely between the recording of the episode and the publication of this article.

In the episode, recorded in May 2026, Dina Silveira describes the rule that had been in place for a decade: the city is "very restrictive" and only allows rentals of more than 30 days.

"Short-term rentals, a weekend, a week, aren't allowed. And even then you need to ask the City of Hermosa Beach for permission, get the license, the number, and stay on top of the rules." — Dina Silveira, in the episode

Jason Lanzarini recalls seeing news about lawsuits the city was losing. He was right.

The 2016 rule

In 2016, Hermosa Beach banned short-term rentals — under 30 days — in residential zones, including advertising them. In 2023, the City Council updated its vacation rental rules again (Ordinance 23-1468). In commercial zones, the city maintained a permit program for this type of rental, collecting the city's lodging tax (Transient Occupancy Tax) through a registration portal. That's the contrast Dina summarizes in the episode: in commercial areas, permission is easier; in residential ones, "it's more restricted."

The Koerner case: why the ban fell

Resident Todd Koerner had been renting a room in his own home, on Manhattan Avenue, through Airbnb since 2012. Fined $2,500 by the city, he went to court. His central argument wasn't about renting but about the coast: under the California Coastal Act, a change that restricts the use of property in the coastal zone requires approval from the Coastal Commission — and Hermosa never obtained that approval for its 2016 ban.

In July 2025, Judge James C. Chalfant of the Los Angeles Superior Court granted an injunction barring the city from enforcing the ban against Koerner. On March 26, 2026, the ruling on the merits came down: the ban is unenforceable in the coastal zone, with an order to void the fine and block enforcement throughout that area — not just at his property. Hermosa's coastal zone covers most of the city west of Ardmore Avenue, more than 40% of its territory.

On May 12, 2026, the City Council voted 4–1 not to appeal.

The new ordinance: registration in the coastal zone, ban outside it

After the ruling, the city drafted Ordinance 26-1502, scheduled for adoption by the City Council on September 8, 2026. According to the summary published by the city, the new ordinance:

  • recognizes that short-term rentals may operate in the coastal zone, in line with the court ruling;
  • keeps the ban outside the coastal zone;
  • creates a new chapter in the municipal code (5.84) with registration and operating requirements for those renting in the coastal zone;
  • updates the lodging tax rules (chapter 3.32).

The details — fees, limits, host requirements and penalties — are in the final adopted text, which should be checked directly with the city. And the situation may keep changing: nothing prevents the city from bringing a regulatory proposal to the Coastal Commission in the future.

Why cities restrict

In the episode, Dina offers a reading of the restrictions that applies to the whole region: the goal isn't to hurt property owners but to preserve housing in an area with few homes available. The concern is to keep investors from buying multiple properties just for short-term stays, driving up housing costs for people who live and work in the city.

"The intention is that you, who live here in Los Angeles, can buy your home to live in, and not that an investor buys one here, another there, just to rent out." — Dina Silveira, in the episode

The Hermosa case shows the other side of that equation in California: on the coast, state law also protects public access to the shoreline, and short-term lodging is one of the ways visitors reach the beach. That's why the Coastal Commission has a say in the rule.

Three neighboring cities, three rules

Jason points out that investors need to research address by address, because "sometimes they allow it in one place and not in another." In the South Bay, that's literal: Redondo Beach bans residential rentals under 30 days; Torrance allows them in residential zones only if the host lives on the property; and Hermosa now distinguishes the coastal zone from the rest of the city. The rules of the neighboring cities are detailed in this newspaper's article on Hollywood Riviera.

Before buying with rental income in mind

  • Confirm whether the property is in the coastal zone. In Hermosa, the line roughly follows Ardmore Avenue — but check the lot on the city's official map.
  • Read the final text of Ordinance 26-1502 and the registration, fee and tax requirements.
  • Check the HOA. A homeowners association can ban vacation rentals even where the city allows them.
  • Check insurance and financing. A standard homeowners policy may not cover paying guests, and some loans require the property to be the buyer's primary residence.
  • Don't rely on a rule that just changed. Build the financial plan so it also works with rentals of more than 30 days.

This article is for informational purposes and is not a substitute for legal advice. Short-term rental rules are among those that change most often on the California coast; confirm the current situation with the City of Hermosa Beach before making any decision.

Sources and verification

  • Koerner v. City of Hermosa Beach, Los Angeles Superior Court: injunction of July 2, 2025 (Judge James C. Chalfant) and ruling of March 26, 2026 — coverage by Easy Reader and Hermosa Review.
  • Hermosa Review — May 12, 2026 vote (4–1) in which the City Council decided not to appeal.
  • City of Hermosa Beach — notice and summary of Ordinance No. 26-1502 (adoption scheduled for September 8, 2026): chapter 5.84 (registration and operation) and chapter 3.32 (Transient Occupancy Tax).
  • City of Hermosa Beach — short-term rental program in commercial zones and registration and tax portal; Ordinance 23-1468 (2023).
  • California Coastal Act (Public Resources Code, division 20): coastal development permit requirement for changes of use in the coastal zone.
  • Transcript and chapters of episode 12 of the Cadê Moradia podcast (May 2026), with Dina Silveira and Jason Lanzarini.

Watch this part of the episode:

Airbnb Rules: Restrictions and city permits. — starting at 17:40 · CADÊ BRAZIL

Sources & editorial note

This article is a reference edition of episode 12 of the podcast and is subject to edits and editorial additions. For the full conversation, watch the episode. — Updated on 17/09/2026.

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