District of Sechelt (DOS) councillors say while they support some short-term rentals, the fact the Tuwanek Hotel and Spa has been operating without a business licence since 2023, means they could not immediately support an application for a temporary development variance permit to reduce the required parking for short-term rental (STR) use on their property.
At a regular meeting of council May 7, DOS development planning manager Ian Holl presented a report detailing the application. At issue is the fact the hotel, located at 7545 Islets Place, doesn’t have the required number of parking spaces, which makes it ineligible to renew its business licence.
The DOS bylaw relating to STRs calls for one designated onsite parking space for every bedroom used in a STR, in addition to parking requirements for other uses. An application to renew their business licence was made in 2023, however parking issues were identified then and the application was denied. According to the report, the hotel has been “operating unlawfully” since 2023.
In the interim, the hotel owner has requested a temporary variance to the bylaw, which would allow them to renew their business licence.
After this trial period, staff note there would be only two permanent options to consider: require the owner to create proper parking on their private property, or complete road improvements to create two designated parking spaces within the public road right-of-way. The owner would then pay an annual fair-market lease rate for commercial use of public land.
Holl noted, this application is a rare case of staff coming to council for input, rather than providing recommendations as per usual, so the report was presented for information only.
“You're kind of looking at the ideal, that the property owner creates space on their own property, meets the zoning bylaw requirements for all street parking and then they just get the business licence as normal, rather than pursuing a lease and road improvements,” said Holl. “That would be kind of the lesser ideal option based on everything that we've gone through. So, that's kind of the options before you, as well as just denying the DVP as well.”
Holl added, there were two recent emails from nearby residents speaking out against the addition of street parking.
Coun. Darren Inkster said he was glad Holl brought up those concerns. He noted, historically, there have been many issues surrounding bed and breakfasts (STRs) in the neighbourhood, dating back to the 1990s and 2000s.
“I’m glad we’re not making a decision on this one tonight. I think that the information that has been provided from two community members should be read very carefully,” said Inkster.
Coun. Donna Bell said it appears the parking issue has been a problem for some time.
“And I think if we're looking at even working on the street, something that I would encourage is all the counsellors to just drive down into that area,” she said. “It’s very, very narrow. There are people that walk up there and I just want you to have a look and just take a drive down. It's something that I think we should all do, just so we know the status.”
Coun. Adam Shepherd asked Holl if there had been any discussion with the property owner about options for creating more parking on their own property, such as changing landscaping or taking down buildings.
Holl said while staff have “certainly suggested” those ideas, there has been no apparent interest from the owner.
“It would involve, at the very least, removal of trees and landscaping, if not potentially, removal of a building to create space,” said Holl. “So, in a sense it is theoretically possible, it just would require some work. So, we have made those suggestions, but they haven't offered to do anything.”
Holl noted the building houses a spa, which under the latest regulations needs a separate business licence and its own parking requirements.
Council –– except Mayor John Henderson –– voted to deny the DVP application and will require the applicant to comply with zoning and build sufficient parking on their property before they are issued a business licence.
