Short-term rentals limited to 1 unit/property? (Chicago Airbnb)

[Kevin Yun]

Hey BP,

I am considering purchasing a 3 or 4-flat in Chicago, and planning out my rental strategy (STR and/or LTR).

After speaking with an STR (Airbnb/Vrbo) management service today, the owner informed me that only 1 rental unit per building can is allowed. What that means is that if I were to buy a 3/4-unit, only 1 unit could be for Airbnb rentals.

This is strange, because I was recently considering a 3-flat in which the owner was pitching Airbnb'd out rental figures. That means they were either grandfathered in(?) and aren't aware of this limit, or that 3 Airbnbs is illegal within the same property/building?

I'll be speaking with a lawyer later this week, but wanted to see if anyone knew info on this. The best I could find is the Chicago ordinance reference (https://www.chicago.gov/content/dam/city/depts/bacp/ordinances/sharedhousingordinanceversionfinal.pdf), but still not quite sure.

[John Clark]

Be wary of AirBnB or other short term rental situations as a way of making your numbers work in Chicago. The aldermen aren't all in AirBnB's pocket yet (later, to be sure), and you don't want an aldercritter banning STRs in his ward after you've committed to the property.

Work the numbers with three long term rentals, and see how high you can push the rent quickly, 'cuz rent control is coming to Chicago