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Hermosa Beach Short-Term Rental Rules: Registration, Business License and TOT

Check where Hermosa Beach STVRs are currently allowed and how to handle City registration, a business license, 14% TOT and operating records.

Last edited on Aug 10, 2026
By Jerry
18 min read
Clay illustration of a Hermosa Beach rental address on a coastal and commercial zoning map with registration, license and tax symbols

Hermosa Beach now says short-term vacation rentals may operate in its coastal zone and in specified commercial zones, but location is only the first check. Operators must also complete City registration, obtain a business license, address 14% transient occupancy tax and confirm any property-specific planning requirements.

Last verified: August 10, 2026

Quick answer: In a June 4, 2026 announcement, the City of Hermosa Beach said short-term vacation rentals are currently allowed throughout the coastal zone and, outside the coastal zone, on properties zoned C-2, C-3, SPA 7 or SPA 8. The City directs all STVR operators to register the property, obtain a City business license and pay applicable transient occupancy tax. Hermosa Beach TOT is 14% of taxable rent. The City's August 1, 2026 deadline for waiving retroactive interest and penalties has passed, so an operator with rental activity since May 2022 should use the City's portal to determine the current amount due rather than assuming the waiver remains available.

Editorial note: This article provides general information based on City of Hermosa Beach public materials. It is not legal or tax advice and does not determine that a particular address is eligible to operate. The City is still developing policy following a legal decision, and the requirements for a specific coastal-zone or commercial-zone property should be confirmed with the appropriate City department.

What Changed in June 2026?

Hermosa Beach had long treated short-term vacation rentals as prohibited in most of the city, while operating a limited pilot program for certain nonconforming residential units in commercial zones.

On June 4, 2026, the City announced a different current position. Citing a recent legal decision, it stated that short-term vacation rentals are now permitted in the coastal zone and in commercial zones established under the 2019 pilot program. The City simultaneously launched a registration and tax portal and instructed operators to:

  1. register their STVR property;
  2. obtain a Hermosa Beach business license; and
  3. pay applicable transient occupancy tax, including tax incurred since May 2022.

The announcement is not a declaration that every residential property in Hermosa Beach may be listed. The City's current STVR page still ties eligibility to location, and an address may also be affected by an administrative permit, building conditions, a lease, association rules or another property-specific restriction.

The safest way to read the 2026 change is:

The City has expanded where STVRs may currently operate, but it has not removed the operator's duty to verify the address and complete each separate registration, licensing, tax and operating requirement.

Hermosa Beach STVR Rules at a Glance

Question Current City information What the operator should verify
What counts as an STVR? A dwelling, unit or room rented for temporary overnight accommodations for fewer than 30 consecutive days Exact booking term and whether a separate TOT rule still applies at 30 days
Where are STVRs currently allowed? The coastal zone; outside it, properties zoned C-2, C-3, SPA 7 or SPA 8 Address, coastal boundary and current zoning through the City's map
Is City registration required? Yes; the City directs all operators to its property registration and TOT portal Correct property and operator information, prior rental activity and portal confirmation
Is a business license required? Yes License status, renewal date and current fee or tax schedule
What is the TOT rate? 14% of taxable rent or bill charged Taxable receipts, exemptions, platform activity and return/payment status
Is retroactive TOT relevant? The City says operators must address TOT incurred since May 2022 Current balance, interest and penalties after the August 1, 2026 waiver deadline
Are operating rules separate? Yes; the City publishes Good Neighbor Guidelines and commercial-pilot materials include additional permit conditions Which requirements apply to the exact property and approval path

First, Confirm That the Address Is in an Allowed Area

The current City page identifies two geographic paths.

Path 1: The property is in the coastal zone

The City says STVRs are now allowed in the coastal zone in response to a recent legal decision. Do not reduce “coastal zone” to “near the beach.” The official coastal boundary is a mapped regulatory boundary and can include or exclude properties in ways that are not obvious from a street address.

Use the City's Zone Lookup map and preserve the result with the address and lookup date. If the result is ambiguous, contact Community Development before accepting a reservation.

Also resolve the Los Angeles County Assessor's Parcel Number through the County Assessor Map Search. The APN gives the City and operator a more reliable property identifier than a platform's map pin, especially for condominiums and boundary properties.

Path 2: The property is outside the coastal zone

Outside the coastal zone, the City's current STVR page lists only these eligible zoning designations:

  • C-2;
  • C-3;
  • SPA 7; and
  • SPA 8.

Older ordinances, forms or third-party guides may show a different list. Use the City's current public page and obtain current Planning confirmation rather than relying on an old screenshot or a manager's description.

A zone match is necessary, but it may not be sufficient

For commercial-zone properties, Hermosa Beach's pilot program historically focused on qualifying nonconforming residential units and used an administrative-permit process. The current Municipal Code's review-authority table continues to identify a Short Term Vacation Rental administrative permit as a decision handled by the Community Development Director, subject to appeal to the Planning Commission.

At the same time, the City's simplified 2026 STVR page emphasizes registration, business licensing and TOT rather than explaining whether the same planning-permit process applies to every newly recognized coastal-zone operator.

That creates a practical rule for owners:

  • Do not treat Deckard registration as a zoning approval.
  • Do not assume a business license is an STVR land-use permit.
  • Ask Planning which approval, inspection or permit applies to the exact address and operating path.

The commercial-zone pilot is currently scheduled to sunset in late October 2027 unless the City adopts another ordinance extending or replacing it. The City's adoption summary uses October 25, while the operative text says the section becomes inoperative on October 24. Ordinance ORD-25-1489 also says no operator has a vested right to continue beyond the term of an issued permit. A permit holder should confirm the controlling date with Planning rather than relying on the one-day difference, and a property forecast should distinguish current eligibility from guaranteed long-term operating rights.

Step 1: Register the STVR Property

Hermosa Beach launched a dedicated STVR registration and TOT portal through Deckard Technologies.

The City announcement describes registration as a requirement for all STVR operators. Before opening the portal, collect:

  • the rental property's complete address and unit number;
  • the Los Angeles County APN;
  • owner and operator information;
  • the dates the property first accepted short stays;
  • booking-platform names and listing URLs;
  • gross rental receipts by period;
  • TOT already collected or remitted by any party;
  • business-license records; and
  • any existing planning permit or City correspondence.

The City-linked portal currently asks for bedroom count, maximum occupancy and on-site parking, and it requests a local contact who is available 24/7 and can reach the property within one hour. It currently displays a $0 registration fee, but portal settings and City charges can change; do not treat that amount as a permanent exemption from future fees. The portal also tells registrants to report material or ownership changes within 14 days.

Save the registration submission, confirmation number, payment records and every document uploaded. If the portal identifies historical rental activity or a balance different from the operator's records, do not overwrite the discrepancy. Preserve both versions and ask the City how to reconcile them.

Registration is one compliance record. It does not prove that the address is eligible, that a required planning approval has been issued or that taxes have been paid correctly.

Step 2: Obtain a Hermosa Beach Business License

The City says an operator must have a City business license to operate an STVR. Applications and renewals are handled through the City's online business-license portal.

Hermosa Beach's general business-license page states that licenses are valid for one year and must be renewed annually. Because schedules and classifications can change, confirm the current charge through the portal rather than copying an old fee from an application or blog post.

When applying, make sure the business-license record uses information consistent with the STVR registration:

  • legal owner or operating entity;
  • rental address and unit;
  • mailing address;
  • start date;
  • business description; and
  • responsible contact.

A mismatch can create avoidable questions during tax reconciliation or renewal. If a property manager holds or applies for the license, confirm in writing who remains responsible for registration, tax filings and responding to City notices.

Step 3: Collect and Remit 14% Transient Occupancy Tax

Hermosa Beach Municipal Code Section 3.32.030 imposes a 14% transient occupancy tax on the taxable rent or bill charged for covered transient occupancy. The City's TOT page explains that the tax is owed by the transient and collected by the operator when the rent is paid.

The taxable base is not always limited to the nightly rate. The City explains that a mandatory ancillary charge may be taxable and gives mandatory parking as one example. Optional services may be treated differently, depending on what the charge buys and whether it is necessary to the normal use of the accommodation.

For each reservation, preserve:

  • nightly rent;
  • mandatory cleaning, parking, resort or utility charges;
  • optional service charges;
  • discounts and refunds;
  • cancellation or no-show charges;
  • platform tax statements;
  • amount of TOT collected from the guest; and
  • amount and date remitted to the City or reported as platform-remitted.

Do not assume that a platform's tax line resolves every City obligation. Compare the platform's records with the Deckard account and confirm which party filed and paid each reporting period.

The City-linked portal currently uses monthly STVR reporting. Because its public landing page does not provide one universal monthly deadline before login, follow the due date shown for the account and reporting period or obtain confirmation from the City's tax staff rather than borrowing a deadline from another jurisdiction.

The August 1 waiver deadline has passed

The City required operators to address TOT incurred since May 2022. It offered to waive retroactive interest and penalties for operators who registered and paid all retroactive TOT by August 1, 2026.

That deadline has passed. The City's announcement warned that later payment may be subject to interest, penalties and fines. An operator should now:

  1. register rather than waiting for a demand letter;
  2. obtain the current period-by-period balance from the portal;
  3. compare it with platform and bank records;
  4. preserve proof of any prior payment or platform remittance; and
  5. contact the City about discrepancies or available administrative review before making unsupported adjustments.

Do not continue advertising an expired waiver as though it were still available.

The 29-Night and 30-Night Boundary Needs Separate Attention

Hermosa Beach's zoning definition describes an STVR as a rental for fewer than 30 consecutive days. The City's June announcement separately describes a transient for TOT purposes as a person entitled to occupancy for 30 consecutive days or less.

That wording means a host should not assume that changing a reservation from 29 nights to exactly 30 nights eliminates every City tax or occupancy issue. Zoning definitions, tax definitions and California landlord-tenant consequences answer different questions.

This article addresses the STVR registration, licensing and TOT workflow. A host considering a 28-night, 30-night or longer booking should separately review the written agreement, termination date, insurance, platform terms and California occupancy law before accepting the stay.

Operating Rules Still Matter After Registration

The City's Good Neighbor Guidelines give operators a baseline for daily management.

Maintain a 24-hour contact

Operators should provide contact information for 24/7 unit maintenance and management. The City's older commercial-pilot application materials impose more specific local-contact duties, including possible on-site response when directed by City staff. Confirm which response standard applies to the property's approval.

Control noise

The City asks guests to respect neighbors' quiet enjoyment, especially after 10:00 p.m. A written house rule should explain the local standard and provide a contact who can respond before a complaint becomes an enforcement matter.

Manage trash

The property should remain free of litter and debris. The Good Neighbor Guidelines direct users to return trash, recycling and green-waste containers to the designated location within 12 hours after pickup.

Give accurate parking instructions

Guests should use on-site parking whenever possible and must not block driveways, sidewalks, alleys or mailboxes. Do not advertise a garage or driveway as available if it cannot actually be kept clear for guests.

Communicate public smoking rules

Hermosa Beach describes itself as smoke-free and prohibits smoking in public places. House rules should distinguish the property's private rules from City public-place restrictions.

Follow the conditions of any administrative permit

Commercial-pilot approvals may include a management and operations plan, inspection, occupancy, parking, signage, listing-disclosure and local-contact conditions. The permit and approved plan—not a generic online checklist—control the property-specific requirements.

A Practical Example

Consider two hypothetical owners.

The first owns a condominium two blocks from the beach. A platform map describes it as “Hermosa Beach coastal,” but the owner has never checked the City's coastal-zone boundary. The property has accepted short stays since 2024, and the platform collected a tax line on some reservations.

The second owns a residential unit above a commercial storefront east of the coastal boundary. The zoning lookup shows C-3. The unit participated in the commercial-zone pilot and has an administrative permit approaching renewal.

Both owners may be able to operate, but their files should not look identical.

Question Coastal-zone condo C-3 pilot unit
Location evidence Coastal boundary lookup C-3 zoning lookup
Planning question What approval or inspection applies under the City's current post-decision process? Is the administrative permit active and renewable, and what conditions apply?
Common requirement Deckard registration Deckard registration
Common requirement City business license City business license
Tax work Reconcile activity since May 2022 and platform remittances Reconcile City returns, portal records and platform remittances
Time-sensitive issue Current City policy may continue to change Pilot sunset currently scheduled for October 24, 2027

The example shows why “Hermosa Beach now allows Airbnb” is not an adequate compliance conclusion.

Pre-Listing Checklist

Before making dates bookable, create a file containing:

  • [ ] address and unit number;
  • [ ] dated coastal-zone and zoning lookup result;
  • [ ] written confirmation of the applicable Planning path;
  • [ ] active administrative permit, if required;
  • [ ] Deckard property registration confirmation;
  • [ ] active Hermosa Beach business license;
  • [ ] TOT account and current balance;
  • [ ] reconciliation of bookings since May 2022;
  • [ ] platform tax-remittance statements;
  • [ ] 24/7 maintenance and management contact;
  • [ ] property-specific permit conditions;
  • [ ] guest rules for noise, trash, parking, pets and smoking;
  • [ ] insurance confirmation for the intended rental use;
  • [ ] lease, lender and HOA review, when applicable; and
  • [ ] calendar reminders for license, permit and policy-review dates.

If one item is missing, label it as unresolved instead of assuming another document covers it.

Where Pine Fits

Hermosa Beach's current process can involve a zoning map, coastal boundary, planning approval, Deckard registration, business license, platform statements, historical bookings and TOT records.

Open Pine to organize the address, registration confirmation, license, permit, booking exports and tax records into one timeline. Pine can help identify missing documents and prepare focused questions for the City or a professional adviser; it does not determine legal eligibility or calculate a binding tax balance.

Frequently Asked Questions

The City currently says STVRs are allowed in its coastal zone and, outside the coastal zone, on properties zoned C-2, C-3, SPA 7 or SPA 8. A particular address may still require a planning approval, registration, business license, TOT compliance and review of private restrictions.

What does Hermosa Beach consider a short-term vacation rental?

The City's zoning definition covers a dwelling, dwelling unit or room rented for temporary overnight accommodation for fewer than 30 consecutive days.

Do I need to register my Hermosa Beach Airbnb?

Yes. The City's June 2026 announcement directs all STVR operators to register their properties through the City's Deckard portal. Registration should not be confused with zoning approval or a required administrative permit.

Do I need a Hermosa Beach business license?

Yes. The City states that an operator must obtain a City business license. General Hermosa Beach business licenses are valid for one year and require annual renewal.

What is the Hermosa Beach TOT rate?

The current transient occupancy tax rate is 14% of taxable rent or the covered bill charged by the operator. Mandatory charges can sometimes be included in the taxable amount.

Do I owe Hermosa Beach TOT for past Airbnb stays?

The City says STVR operators must address TOT incurred since May 2022. The August 1, 2026 waiver deadline for retroactive interest and penalties has passed. Use the City portal to determine the current balance and preserve evidence of any tax already remitted.

Does Airbnb collect Hermosa Beach TOT for hosts?

A platform may display, collect or remit taxes for some reservations, but the operator should verify the actual remittance record against the City account. A platform tax line does not prove that every period, charge or filing obligation was handled correctly.

Is a 30-night rental exempt from Hermosa Beach TOT?

Do not assume so. The City's STVR definition uses fewer than 30 consecutive days, while its June 2026 tax explanation describes a transient as someone entitled to occupancy for 30 consecutive days or less. Confirm the tax treatment and separately evaluate the legal consequences of an extended stay.

Does coastal-zone eligibility mean I can list immediately?

Not necessarily. Confirm the property is actually within the coastal boundary, then ask the City which planning approval or inspection applies. Registration, a business license and tax payment do not substitute for land-use eligibility.

Are C-2, C-3, SPA 7 and SPA 8 permits permanent?

The commercial-zone pilot is currently scheduled to sunset in late October 2027 unless the City adopts a replacement or extension. The official summary and operative text differ by one day, so existing permit holders should confirm the controlling date and monitor their individual permit expiration dates.

What records should I keep for a TOT audit?

The City identifies records such as guest folios, daily reports, monthly rent summaries, exempt-revenue support, reservation and housekeeping reports, platform or franchiser submissions, tax returns, and general-ledger or revenue-detail records. Keep platform statements and proof of City payment with those records.

Official Sources

This article provides general information, not legal or tax advice. Hermosa Beach's post-decision STVR policy and property-specific requirements can change. Confirm the current status of the exact address with the City before advertising, accepting a reservation or relying on short-term-rental income.

Jerry

Jerry

Growth & Marketing

Focused on turning real customer problems into useful content, scalable growth strategies, and better product experiences. Particularly interested in SEO, AI search, content systems, and uncovering overlooked insights from online communities. Outside of work, passionate about CrossFit and exploring anti-inflammatory nutrition.

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