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Casago Orange County, a DBA of Acme CA Vacations, Inc. California DRE #02439360. Michael Flannery, Designated Broker.
Orange County · Laguna Beach
Strong arts-and-coast demand, and a City that no longer allows short-term lodging in its residential districts. What the City page says, read on 2026-09-20.
Existing owner? Access your Owner Portal
Guest intent
Visit Laguna Beach organises the destination around major attractions, beaches, outdoor and recreational activity, arts and culture, shopping, family, health and wellness, spas, experiences and tours, and dining. It reads as a walkable arts-and-coast trip rather than a resort one, which shapes what a listing needs to describe: the walk, the cove, the parking and the noise expectations of a dense town.
The operating reality
All of this was read on the City’s short-term lodging page on 2026-09-20.
Where
Allowed in the LB/P, C-N, C-1 and CH-M districts and named Downtown Specific Plan commercial districts with an Administrative Use Permit, and in the SLV district with a Conditional Use Permit. Chapter 25.23 was certified by the California Coastal Commission in 2020.
How many
No more than 20% of units in commercial and mixed-use districts may be converted, with a maximum of 300 units city-wide including those approved before October 2020. An additional 165 home-share units are permitted in single-family, duplex and triplex dwellings inside those districts.
What it takes
A Short-Term Lodging Unit License, a City business license, an Administrative or Conditional Use Permit and transient occupancy tax registration. Total collected is 14%: 12% City TOT plus a 2% Laguna Beach Tourism Marketing District assessment, filed quarterly even with no rentals.
The City page states that short-term lodging is no longer allowed in the residential districts R-1, R-2 and R-3, and that existing permitted units there are legal nonconforming and may continue to operate, with the use running with the land rather than the owner. If the home has no existing permit, the City's page says the use is not available. Checked 2026-09-20.
In the LB/P, C-N, C-1 and CH-M zoning districts and in named commercial districts of the Downtown Specific Plan with an Administrative Use Permit, and in the SLV district with a Conditional Use Permit, subject to a 20% conversion limit and a 300-unit city-wide maximum. A separate allowance covers 165 home-share units inside those districts.
Effective 1 July 2025 with enforcement from 1 October 2025, it requires a Short-Term Lodging Unit License alongside a City business license, a use permit and TOT registration; a 24/7 local contact who responds to complaints within 60 minutes; neighbour notification within 200 feet at least 30 days before a new license issues; the license number on every listing; and a complaint log.
The City states a total of 14% on all rental revenue: 12% City transient occupancy tax and a 2% Laguna Beach Tourism Marketing District assessment, with quarterly TOT reports required even if no rentals occurred.
Next step
Continue to the Owner Portal for a property-specific conversation. Prospective owners choose I'm considering the program. Existing owners sign in as an owner. Nothing about your home is sent from this page.
