Airbnb-Style Rentals Soon Will Be Treated As Nuisances In Arlington Heights

ARLINGTON HEIGHTS, IL — Airbnb-style rentals soon will be treated as nuisances in Arlington Heights under a sweeping new village ordinance that officials say is aimed at protecting neighborhoods as the community braces for major future development around the former Arlington Park property.

Beginning July 1, homeowners in Arlington Heights will no longer be allowed to rent residential properties for fewer than 30 consecutive days after the Village Board approved an ordinance amending Chapter 19 of village code.

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Under the ordinance, short-term rentals are formally classified as nuisances.

“The Village President and Board of Trustees find and determine that the short-term rental of residential properties, for periods of less than 30 days, constitutes a nuisance that threatens the health, safety, and general welfare of Village residents,” the ordinance states.

Village officials said the regulations were crafted following resident complaints involving noise, parking, parties and transient occupancy tied to Airbnb-style rentals.

The issue first came before trustees during a Jan. 12 Committee of the Whole meeting, where village staff presented several potential regulatory approaches being used in other suburbs, including licensing systems, minimum stay requirements and hotel taxes.

Ultimately, trustees opted for perhaps the region’s most restrictive approach: effectively prohibiting short-term residential rentals entirely.

The ordinance defines short-term rentals as “the use of a dwelling unit for overnight accommodation that is available for rent by transient guests for a period shorter than 30 consecutive days.”

Hotels, motels and lodging rooms are exempt. The ordinance also allows temporary leaseback arrangements connected to home sales.

Officials acknowledged during the March 2 meeting that the ordinance was intended as an interim measure while Arlington Heights continues navigating broader redevelopment questions surrounding the former Arlington International Racecourse property — land the Chicago Bears purchased in 2023 for nearly $200 million with plans for a potential multibillion-dollar stadium district.

Trustee Jim Bertucci described the ordinance as a “reset” that would allow the village to address immediate neighborhood concerns while potentially revisiting regulations later as redevelopment plans evolve.

Village staff also noted additional pressures that large-scale redevelopment — including a potential NFL stadium project — could place on nearby neighborhoods and residential rental activity.

The original ordinance proposed an Aug. 1 effective date, but trustees amended it during the meeting to July 1.

That change means existing short-term rental reservations booked after June 30 that do not meet the 30-day minimum will no longer be permitted. Existing operators are not grandfathered into the new rules.

Village staff said enforcement will largely be complaint-driven, similar to other nuisance violations handled by the village.

Arlington Heights’ approach appears stricter than several neighboring suburbs that have recently moved toward regulation rather than outright prohibition of short-term rentals.

Skokie recently approved an 18-month pilot program allowing some Airbnb-style rentals under licensing and occupancy restrictions, while Elmhurst implemented regulations involving inspections, permits and enforcement standards.

At least one Arlington Heights resident urged trustees to adopt the ordinance sooner than planned, warning summer rental activity could create additional neighborhood disruptions.

Others questioned whether the village should regulate nuisance behavior instead of effectively banning short-term rentals altogether.

Still, trustees ultimately approved the ordinance unanimously.

Village officials said the board may revisit short-term rental regulations in the future depending on redevelopment plans and evolving community needs.