Overview: Short-Term Rentals Are Allowed in Lawrence, KS

Yes, short-term rentals are explicitly allowed in Lawrence, Kansas. The city permits short-term rentals (rentals for less than 30 days) under a comprehensive regulatory framework established through City Ordinance No. 9560, which became effective November 1, 2018. However, STRs operate under strict licensing, inspection, and zoning requirements that vary based on whether the property is owner-occupied or non-owner occupied.

How to Start a Short-Term Rental Business in Lawrence

Step 1: Determine Property Eligibility

• Verify your property's zoning designation using the Interactive Map of Lawrence
• Owner-occupied properties: Allowed as accessory use in most residential zones
• Non-owner occupied properties: Require Special Use Permit and are prohibited in Single Dwelling Residential Districts (RS)

Step 2: Obtain Required Permits

• Owner-occupied STRs: Apply directly for Short-Term Rental License
• Non-owner occupied STRs: First obtain Special Use Permit through Planning Commission and City Commission public hearings, then apply for license

Step 3: Meet Insurance and Tax Requirements

• Obtain liability insurance with minimum $1,000,000 coverage for casualty, personal injury, and property damage
• Provide proof of payment for all state retail sales tax, local retail sales tax, and transient guest tax

Step 4: Schedule Inspection

• Contact Department of Planning and Development Services during licensing month to schedule annual inspection
• Pass inspection using standards similar to long-term rental properties

Step 5: Notify Neighbors

• Owner-occupied: Send one-time notice to property owners within 200 feet
• Non-owner occupied: Notice provided to property owners within 400 feet through Special Use Permit process

Required Documents, Permits, Licenses, and Guidelines

Licensing Requirements

• Annual Short-Term Rental License: $17.00 fee
• Annual Inspection Fee: $50.00 per dwelling unit
• Re-inspection Fee: $50.00 if subsequent re-inspections required
• Administrative Fee: $50.00 for missed or refused inspections

Required Documentation

1. Complete application form from Department of Planning and Development Services
2. Property owner information (name, address, phone, email)
3. Resident Agent information (required if owner lives more than 40 miles from Lawrence)
4. Proof of liability insurance ($1,000,000 minimum coverage)
5. Evidence of tax compliance (sales tax, transient guest tax payments)
6. Workers' compensation insurance certificates (if applicable)
7. Non-discrimination statement
8. Neighbor notification proof
9. Special Use Permit (for non-owner occupied properties)

Owner-Occupied Definition

Property owner must reside in the unit being rented as STR for majority of time (183 days in the 12 months preceding licensing).

Specific Regulations for Short-Term Rentals

Occupancy Limits (by Zoning District)

• Single Dwelling Residential Districts (RS): Maximum 3 unrelated individuals
• Multi-Dwelling Residential Districts (RM): Maximum 4 unrelated individuals
• Commercial, Industrial, MU, PUD, PRD, PCD, PID, POD, UR, U/U-KU, and OS: Maximum 3 unrelated individuals in detached dwellings, 4 in other housing types
• Minor children not included in occupancy count

Zoning Restrictions

• Prohibited: Single Dwelling Residential Districts (RS) for non-owner occupied
• Special restrictions: Cannot use Accessory Dwelling Units as STRs
• Multiple units: Only one unit may be rented at a time if property has both principal residence and accessory dwelling unit

Property Limits

• Maximum 3 short-term rental properties per owner/person

Operational Requirements

• License must be displayed on premises and posted on rental platforms
• Guest information must include contact information, parking details, occupancy limits, noise restrictions, trash guidelines, party prohibitions, and emergency egress plans
• Property must comply with City's Property Maintenance Code
• Annual inspections and license renewals required

Violations and Penalties

• Minimum fine: $500.00 per violation
• Maximum fine: $2,500.00 per violation
• Probation: Available for first-time violations with remediation requirements
• License revocation: For serious or repeat violations
• Habitual violator status: After 3 revocations, permanent loss of STR privileges citywide

Contact Information for Local Authority

Department of Planning and Development Services

• Address: City of Lawrence, Kansas
• Phone: (785) 832-7700 (Code Enforcement Division)
• Code Enforcement: For complaints and violations
• Online: Code violation form available on city website

Applications and Licensing

• Submit applications to Department of Planning and Development Services
• Use official city forms provided by the department

Douglas County Regulations

Douglas County has separate vacation rental regulations that were updated in 2024. Previously, all vacation rentals required a Conditional Use Permit, but the county has streamlined the process to allow administrative approval for certain properties that meet specific criteria. All vacation rental properties in Douglas County must be registered.

For county-specific regulations outside Lawrence city limits, refer to the Douglas County Zoning and Land Use Regulations, with vacation rental standards beginning on page 165.

State-Level Regulations

Kansas does not impose additional state-level restrictions on short-term rentals beyond standard tax collection requirements. Airbnb has an agreement with the State of Kansas to collect and remit sales tax and transient guest tax from users.

Source Links

• Lawrence STR FAQ Document
• City Ordinance No. 9560
• Douglas County Vacation Rental Standards
• Lawrence Times Coverage of STR Cap Discussion

This comprehensive regulatory framework ensures that short-term rentals operate safely while maintaining neighborhood character and housing availability for residents. Potential STR operators should carefully review all requirements and consider consulting with city staff before beginning operations.