SAN DIEGO (FOX 5/KUSI) — For the first time in nearly three years, San Diego is reopening the application process for short-term vacation rental licenses in one of its most popular beach communities.
Starting Tuesday, July 1 at 10 a.m., the City of San Diego will begin accepting Tier 4 Short-Term Residential Occupancy (STRO) license applications for whole-home rentals in Mission Beach. These licenses apply to properties rented out more than 20 days per year in the Mission Beach Community Planning Area.
This marks the first opportunity to apply since the city paused Tier 4 applications in November 2022, after quickly reaching capacity during the last application window. Since then, the city has only been processing applicants from a waitlist.
New phase for San Diego’s short-term rental market
The Tier 4 license reopening comes under the framework of the city’s STRO Ordinance, adopted by the San Diego City Council and approved by the California Coastal Commission. The rules regulate short-term rentals of fewer than 30 consecutive days, aiming to strike a balance between vacation rentals and long-term housing availability.
“As a result of this ordinance, we have seen more housing return to the market for San Diego residents, while also providing options for visitors who want to stay in one of San Diego’s many vibrant and diverse neighborhoods,” said District 2 Councilmember Jennifer Campbell, whose district includes the beach community. “Especially in popular areas like Mission Beach, these regulations have protected the neighborhood quality of life, and I am grateful to all the hosts who have adapted to follow this new model for their rentals.”
Key details for applicants
To be eligible, applicants must:
- Hold an active Transient Occupancy Tax certificate.
- Be current on all Rental Unit Business Taxes.
The application period will remain open for 45 days, ending Aug. 15, 2025. Once closed, the city will conduct a random lottery to determine the processing order and assign waitlist positions, as required by the San Diego’s Municipal Code.
Options for current license holders
As explained by the city, existing license holders in lower tiers can apply to be considered for a Tier 4 license. If approved, they’ll be required to cancel their current license.
San Diego officials confirmed that this reopening does not impact the availability or application process for Tier 1–3 licenses. More information about all license tiers is available online.
“I am committed to continuing to foster a positive and respectful relationship between San Diego residents and visitors as we enter this next phase of licensing,” Campbell continued.
For San Diegans and visitors alike, the renewed availability of these licenses could mean more vacation options along the coast — while the city maintains its goal of preserving housing for residents and protecting neighborhood character.
(Except for the headline, this story has not been edited by PostX News and is published from a syndicated feed.)