Overview: Are Short-Term Rentals Allowed in Clewiston, FL?

YES, short-term rentals are allowed in Clewiston, Florida. However, they are subject to specific regulations and requirements that were recently formalized through City Ordinance No. 2025-04, which amended the Clewiston Code of Ordinances to create Article VIII - Vacation Rentals within Chapter 22, Business. This ordinance was passed on first reading in March 2025, establishing Clewiston's first structured regulatory framework for vacation rentals under Florida Statute 509.032(7)(a).

The city has experienced a notable rise in vacation rental properties, prompting the need for regulatory measures to address public safety, neighborhood integrity, and city planning concerns. Current market data shows Clewiston's short-term rental market consists of approximately 106 active STRs (according to StaySTRA data) to 47 listings (according to AirROI), indicating a growing but still emerging market segment.

How to Start a Short-Term Rental Business in Clewiston

Step-by-Step Launch Process

1. Pre-Operational Assessment

   • Verify zoning compliance: Confirm your property is located in designated areas where short-term rentals are permitted
   • Property suitability evaluation: Ensure your property meets safety and building code requirements
   • Financial planning: Budget for licensing fees, taxes, insurance, and compliance costs

2. Business License Acquisition

   • Obtain a business license from the City of Clewiston
   • Submit required application and documentation
   • Pay the $150 business license fee

3. Tax Registration and Setup

   • Register with the Florida Department of Revenue for sales tax collection
   • Implement systems to collect and remit the required taxes
   • Set up accounting processes for tax compliance

4. Safety and Code Compliance

   • Install required safety equipment (smoke detectors, fire extinguishers)
   • Ensure property meets all applicable health and safety codes
   • Complete any required inspections

5. Marketing and Operations Setup

   • List property on STR platforms
   • Establish guest communication protocols
   • Develop house rules and operational procedures

Market Considerations

Current market performance indicators:

• Average Daily Rate (ADR): $164-$190.23
• Occupancy Rate: 43.8%-45.5%
• Annual Revenue Potential: $18,349 (median)
• Market Status: Emerging growth market with increasing demand
• Peak Season: February (highest revenue month)
• Low Season: September (lowest revenue month)

Required Documents, Permits, Licenses, and Guidelines

Essential Documentation

1. Business License

   • Issuing Authority: City of Clewiston
   • Cost: $150
   • Application Requirements:
     • Proof of property ownership
     • Compliance verification with local zoning laws
     • Completed application form

2. Tax Registration Documents

   • Sales Tax Certificate (Florida Department of Revenue)
   • Tourist Development Tax registration (where applicable)

3. Safety Compliance Documentation

   • Proof of smoke detector installation
   • Fire extinguisher certification
   • Health department compliance certificates (if required)

Safety Requirements Checklist

• Smoke detectors installed and functional
• Fire extinguishers properly positioned and serviced
• Building code compliance verification
• Health and safety codes adherence
• Emergency contact information posted

Specific Regulations: City, County, and State Level

City of Clewiston Regulations (Municipal Level)

Framework: Clewiston Code of Ordinances, Chapter 22, Business, Article VIII - Vacation Rentals (Ordinance No. 2025-04)

Key Requirements:

• Business license mandatory for all vacation rental operations
• Zoning compliance required - properties must be in designated STR areas
• Safety equipment and code compliance mandatory
• Inspection and compliance mechanisms established

Operational Requirements:

• Tax collection and remittance obligations
• Record-keeping for guest stays and revenue
• Compliance with noise, parking, and neighborhood protection standards

Enforcement:

• Violations may result in fines up to $500
• License suspension or revocation for repeated violations
• City has authority under Florida Statute 509.032(7)(a)

Hendry County Regulations (County Level)

No specific county-level vacation rental regulations were identified in the provided sources. Standard county zoning and building codes would apply, but investors should verify with Hendry County for any additional requirements.

State of Florida Regulations (State Level)

Primary Authority: Florida Statute 509.032(7)(a) - grants municipalities authority to regulate vacation rentals

State-Level Requirements:

• Sales Tax: 6% on all short-term rental income
• Tourist Development Tax: 1% on short-term rental income (varies by county)
• Vacation Rental Registration: State-level registration may be required
• Preemption Compliance: Must comply with state preemption laws regarding local regulation

Tax Obligations and Remittance Requirements

Required Tax Collection and Remittance

1. Florida Sales Tax (6%)

   • Collected from guests on all rental income
   • Remitted to Florida Department of Revenue
   • Monthly or quarterly filing requirements

2. Tourist Development Tax (1%)

   • Additional local tax on short-term rentals
   • Remitted to appropriate local authorities
   • Specific rates and remittance schedules may vary

Important: Tax obligations apply regardless of rental frequency or income level. Proper registration and timely remittance are critical for maintaining legal operations.

Enforcement and Penalties

Compliance Enforcement

City-Level Penalties:

• Fines up to $500 for violations
• License suspension for serious or repeated violations
• License revocation for persistent non-compliance

Violation Types Include:

• Operating without a business license
• Zoning code violations
• Safety equipment non-compliance
• Tax collection/remittance failures
• Noise or neighborhood disturbance violations

Enforcement Mechanism: City has established inspection and compliance mechanisms through Ordinance No. 2025-04.

Contact Information for Local Authorities

City of Clewiston

Primary Contact:

• City Website: www.clewiston-fl.gov
• Municipal Code: library.municode.com/fl/clewiston/codes/code_of_ordinances
• Address: 115 West Ventura Avenue, Clewiston, FL 33440
• City Manager: Danny Williams
• Community Development Director: Travis Reese

For Business Licensing:

• Contact City Hall for business license applications
• Community Development Department handles zoning and compliance inquiries

For Code Enforcement:

• Municipal Code enforcement through City Hall
• Vacation rental regulations under Chapter 22, Article VIII

Florida Department of Revenue

• Sales Tax Registration and Compliance: Contact for sales tax certificate and remittance requirements
• Online Services: Available through Florida DOR website

Recommended Initial Contact Protocol

1. Contact City of Clewiston Community Development Department to discuss zoning compliance and licensing requirements
2. Consult with City Manager's Office for comprehensive regulatory guidance
3. Review municipal code using the Municode link provided
4. Schedule pre-application consultation to ensure smooth licensing process

Links to Source Pages

Essential Reference Links:

1. Clewiston City Code of Ordinances (Primary Regulatory Source)

   • library.municode.com/fl/clewiston/codes/code_of_ordinances
   • Contains Chapter 22, Business, Article VIII - Vacation Rentals

2. City of Clewiston Official Website

   • www.clewiston-fl.gov
   • Contact information, business licensing, and city services

3. Ordinance No. 2025-04 Source Document

   • mccmeetingspublic.blob.core.usgovcloudapi.net/clwstonfl-meet-9e7d6a6176a144d1adeeeacd5dd1b230/ITEM-Attachment-001-b0f48b3e7d554b208ca6d2baa29a5976.pdf
   • March 17, 2025 City Commission agenda item creating STR regulations

4. Market Data Sources (for investment analysis):

   • StaySTRa.com market overview: staystra.com/location/florida/clewiston/
   • AirROI market analysis: www.airroi.com/report/world/united-states/florida/clewiston

Investment Considerations and Market Outlook

Market Dynamics

• Regulation Level: Currently classified as "Low" regulation environment
• Market Maturity: Emerging growth market with increasing visitor numbers
• Tourism Impact: 500,000 annual visitors support STR demand
• Seasonality: Peak season November-April, with February generating highest revenues

Competitive Landscape

• Active Listings: 47-106 properties depending on data source
• Average Performance: Moderate occupancy rates with strong ADR potential
• Property Types: Primarily entire home/apartment (91.5%), with 2-bedroom units most common (42.6%)

Risk Factors

• Regulatory Evolution: New ordinance indicates active regulatory environment
• Compliance Costs: $150 licensing fee plus ongoing tax obligations
• Enforcement Risk: Active enforcement with potential penalties up to $500

This comprehensive guide provides investors with the essential framework for launching and maintaining compliant short-term rental operations in Clewiston, Florida. Given the recent implementation of vacation rental regulations, investors should maintain close contact with city authorities and stay updated on any regulatory developments.