New Haven officials are moving to curb the surge of short‑term rentals that they say are squeezing the city’s already limited housing supply. An ordinance under consideration would allow short‑term rentals only in units that are occupied by the homeowner, a measure designed to encourage landlords to offer more long‑term leases.
Local leaders stress housing need
Ward 8 Alder Mandy Martinelli highlighted the growing presence of short‑term rentals in her neighborhood. “Just on my street alone, in the last two years, there have been three Airbnbs themselves,” she told NBC Connecticut.
Mayor Justin Elicker expressed strong support for the proposal, saying it would ease pressure on the market and make more units available for residents who need stable, long‑term housing. “We want to make sure homeowners, if they have an extra room or extra apartment in their building, have the ability to rent,” Elicker said. “But at the same time, we’re in an affordability crisis right now, and housing affordability is something that’s affecting so many New Haven residents.”
Economic data underscores urgency
James Thorson, an economics professor at Southern Connecticut State University, warned that the city’s housing challenges are part of a broader national trend. He noted that the vacancy rate for apartments nationwide is only about 3.5%, leaving landlords little incentive to offer discounts or flexible lease terms.
“At that low vacancy rate, landlords aren’t in the mood to offer any deals to people to move into their places,” Thorson explained. He added that many of those struggling to find housing are recent college graduates and workers at the lower end of the wage scale.
Short‑term rentals in new construction
NBC Connecticut identified several short‑term rental listings in larger downtown apartment buildings, including units in five of the City Crossing properties. One of those buildings was the site of a construction collapse in June 2023, underscoring safety concerns tied to rapid development.
Mayor Elicker argued that the ordinance would redirect those units toward long‑term residents. “Those are units that could be used for people that are residents in our city that want to live there for a longer period of time,” he said.
Next steps
The ordinance is expected to be debated at the next city council meeting, where officials will weigh input from property owners, renters, and community advocates. While the city has reached out to the parent company of City Crossing Apartments for comment, a response has not yet been received.
Supporters say the measure aligns with New Haven’s broader effort to increase affordable housing stock while preserving the rights of homeowners to rent spare rooms. Critics, primarily from the short‑term rental industry, argue that the proposal could limit tourism revenue. The city plans to monitor the impact of any new restrictions closely, ensuring that the policy serves both the economic vitality of New Haven and the housing needs of its families.
Original reporting: NBC Connecticut (Hartford) — read the source article.
