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Proposed short term rental ordinance in the City of Alpena

News File Photo Alpena City Hall is seen in this 2018 News archive photo.

The City of Alpena would like to provide information and background on the recent proposed moratorium for short-term rentals within the city of Alpena, according to a Thursday press release.

Throughout Michigan, communities are addressing, or have already addressed, the role that short-term rentals play in their community. Previous attempts have been made at the state level to regulate short-term rentals at the local level, but at this time, legislation has not been passed. We support local efforts and decision making on this issue, rather than a one size fits all approach from the state. The City of Alpena recognizes that a balanced approach to short-term rentals is needed to ensure residents’ needs are met first, while also supporting tourism and the local economy.

The results of the 2025 Master Plan Survey are now available; thank you to everyone who took the time to respond to the survey. Respondents connected to the city of Alpena stated the following: 42% said short term rentals are a problem in residential areas; 55% said short-term rentals should be held to a certain number; 57% said there should be a local business permit process; 69% said there should be recurring inspections for short-term rentals.

In 2024, the City participated in a housing study conducted by Bowen National Research; results from the study state that the city of Alpena has a minimum housing gap of 163 rental units and 438-for sale units. The study also found that current limited housing supply puts the city at risk of losing residents to other communities. The survey also identified that the city has a rental vacancy rate of 0.4%, well below the optimal range of 4%-6%; similarly, for-sale units have a 0.5% availability rate compared to well-balanced markets of 2%-3%.

The proposed moratorium suspends any new short-term rentals from being registered within the city of Alpena; short-term rentals currently registered and/or certified through the City’s rental registration program may continue to have registrations and certificates renewed throughout the duration of the moratorium. During the moratorium period, ongoing research will be conducted by a sub-committee. The sub-committee will continue to review the feedback provided from the community via the recent Master Plan survey. It will review ordinances from other communities, review recent case law, and complete additional research to propose a future approach. The sub-committee consists of two City of Alpena Council members, three Planning Commission members, two City staff, and a representative from the Downtown Development Authority. The Alpena Convention and Visitor’s Bureau has also provided comment to the sub-committee.

The City of Alpena currently has 56 registered and identified short-term rental units. For more information, see the following documents on the City of Alpena’s Planning, Development, and Zoning webpage:

Proposed Ordinance No. 26-517

Master plan survey results related to short-term rentals

2024 Bowen National Research Study for the City of Alpena

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