Executive Summary

Short-term rentals are allowed in Key Biscayne, FL, but are subject to strict regulations. The Village permits vacation rentals defined under Florida Statute §509.242(1)(c) as "any unit or group of units in a condominium, cooperative, or timeshare plan or any individually or collectively owned single-family, two-family, three family, or four family house or dwelling unit that is also a transient public lodging establishment." However, investors must comply with a 15-day minimum rental period and obtain proper licensing.

How to Start a Short-Term Rental Business in Key Biscayne

Step 1: Understand Legal Framework

Before investing, confirm your property qualifies under the Village's definition of a vacation rental and that you can meet all regulatory requirements. The minimum rental period of 15 continuous days is mandatory unless superseded by condominium documents.

Step 2: Business Tax Receipt Application

Submit a complete application via email to BTR@keybiscayne.fl.gov with the following required documents:

• Completed Local Business Tax Receipt application
• Corporate documents (if registered with Division of Corporations)
• Approved Fictitious Name documentation (if required)
• Federal Employer Identification Number (FEIN) documentation
• Copy of lease or warranty deed
• DBPR Vacation Rental application and license

Step 3: Inspection Process

Upon application approval, schedule an inspection with the Key Biscayne Fire Department to ensure compliance with safety requirements.

Step 4: Ongoing Compliance

Maintain compliance with all Village regulations, including noise ordinances, nuisance regulations, and special event restrictions.

Required Documents, Permits, Licenses, and Guidelines

Municipal Requirements

• Local Business Tax Receipt (BTR): Required annually
• Certificate of Use: One-time fee of $120.00
• Fire Inspection: Required with one-time fee of $75.00
• Written Leases: All occupancy agreements must be in writing
• Section 7-31 Compliance: Incorporate Village ordinance requirements into all leases

State Requirements

• DBPR Vacation Rental License: Obtain through Florida Department of Business and Professional Regulation
• SunBiz Registration: Register fictitious names through Florida Division of Corporations
• FEIN: Federal tax identification number if required

Total Costs

• Initial Setup: $310.76 (Certificate of Use $120.00 + Fire Inspection $75.00 + First Year BTR $115.76)
• Annual Renewal: $115.76 (Business Tax Receipt)

Specific Regulations for Short-Term Rentals

Village of Key Biscayne Regulations (Section 7-31)

Rental Period Requirements:

• Minimum rental period: 15 continuous days
• Condominium documents may supersede Village minimum if more restrictive

Operational Requirements:

• All leases must be written and incorporate Section 7-31 provisions
• Lease documents must be delivered to Village or available on-site for inspection
• Full compliance with land development regulations
• Adherence to zoning district requirements
• Compliance with noise, nuisance, and special event regulations

Prohibited Activities:

• Rentals less than 15 days (unless superseded by condo documents)
• Operating without valid Business Tax Receipt
• Non-compliance with fire safety requirements

Miami-Dade County Regulations

Key Biscayne falls under Miami-Dade County jurisdiction for certain regulations, including hurricane preparedness and emergency management requirements.

Florida State Regulations

• Florida Statute §509.242(1)(c) defines vacation rentals
• State preemption laws affect local regulation capabilities
• DBPR licensing requirements for public lodging establishments

Enforcement Measures

• Civil Violation Notice: $250 for operating without Business Tax Receipt
• Daily Fines: $250 per day for continued non-compliance after Notice of Violation
• Warning Period: Properties given until September 16 to comply before violations issued
• Active Enforcement: Village uses GovOS software to identify non-compliant properties through web advertising monitoring

Contact Information for Local Authority

Primary Contact

Village of Key Biscayne Building, Planning & Zoning Department

• Address: 88 West McIntyre Street, Key Biscayne, FL 33149
• Phone: (305) 365-5511
• Email: BTR@keybiscayne.fl.gov
• Website: keybiscayne.fl.gov/services/short-term_rentals.php

Key Personnel

• Building, Planning & Zoning Director: Jeremy Gauger
• Business Tax Receipt Processing: BTR@keybiscayne.fl.gov

Additional Resources

• Building Permits: aca-prod.accela.com/keybiscayne/Default.aspx
• Code Compliance: keybiscayne.fl.gov/services/code_compliance/index.php
• Staff Directory: keybiscayne.fl.gov/services/human_resources/staff_directory/index.php

Important Considerations for Investors

Homestead Exemption Impact

Property owners should be aware that renting properties for more than 30 days in a calendar year can affect Homestead exemption status. Properties rented for more than 30 days for two consecutive years may lose the exemption, resulting in loss of tax benefits and protection from rapid assessed value increases.

Condominium Association Requirements

Condominium documents may impose additional restrictions on short-term rentals that supersede Village requirements. Investors should review association bylaws and rules before purchasing.

Enforcement Environment

The Village has implemented active enforcement measures, including:

• Web advertising monitoring services
• Warning system with September 16 deadline
• Daily $250 fines for ongoing violations
• Special Magistrate proceedings for serious violations

Zoning Considerations

Ensure your property is located in a zoning district that permits short-term rental operations and complies with all land development regulations.

Sources and Links

1. Village of Key Biscayne - Short-Term Rentals: keybiscayne.fl.gov/services/short-term_rentals.php
2. Village News - STR Enforcement Update: keybiscayne.fl.gov/news_detail_T21_R175.php
3. WLRN News Report: www.wlrn.org/government-politics/2024-08-21/key-biscayne-cracks-down-on-rogue-short-term-rentals
4. Florida Statute §509.242: www.leg.state.fl.us/statutes/index.cfm?App_mode=Display_Statute&URL=0500-0599/0509/0509.html
5. Key Biscayne Code of Ordinances: library.municode.com/fl/key_biscayne/codes/code_of_ordinances
6. DBPR Vacation Rental Licensing: www.myfloridalicense.com/DBPR/
7. Florida Division of Corporations (SunBiz): dos.fl.gov/sunbiz/