Home Owners Planning Permits

Planning Permits are required for many projects such as guest quarters (guest houses), various residential remodel/addition projects, and development on Historic or Environmentally Sensitive Properties. If you are a homeowner and require a Planning Permit, access our Planning Permit Application Form Link.

Please note: For Building Permits, please refer to the Building & Safety tab (See link). If you are planning to remodel, demo, or alter a structure in any way access our Building/Construction Permit Application Form Link. 

Accessory Dwelling Units (ADU)

The City is currently updating its ADU ordinance, more information will be available soon. A building permit is required for all ADUs.

Homestay Applications Now Available

Applications for homestays are now available at the Community Development Department Office located at 919 Palm Ave. A homestay, which is the short-term rental of an owner-occupied home, recently became an allowed use in the City with passage of an ordinance in January. Homestay How-To A Quick Guide.


The Homestay Permit has specific requirements for obtaining a business license, including payment of Transient Occupancy Tax (TOT), owner occupancy, maximum number of guests, parking, designating a responsible party and limitation of use of accessory structures. The City Council created an amnesty period for unpaid TOT to existing operators of homestay rentals which expires on May 20th.

The short-term rental of non-owner occupied homes (vacation rentals), remains a prohibited use.

Click here to read the ordinance allowing homestay rentals in the City and please contact the Community Development Department with any questions at 781-7170.

City Reaches Agreement with Airbnb

The City of San Luis Obispo has reached an agreement with popular online lodging rental platform Airbnb to collect Transient Occupancy Taxes (TOT) and related assessments in the City of San Luis Obispo.

Under the agreement, Airbnb will collect TOT and any other required assessments on short-term rental transactions and transmit the funds to the City. TOT is similar to sales tax except it’s collected by lodging business operators from their guests to help fund important City services, such as public safety and road maintenance.

In the city of San Luis Obispo all lodging business, including homestay properties, are required to collect a 10% TOT from their guests, plus a 2% Tourism Business Improvement District (TBID) assessment and a 1% Tourism Marketing District (TMD) assessment.

Under the agreement, any host who uses Airbnb to book reservations will have these taxes and assessments collected and remitted automatically. Homestay operators shall continue to report and remit taxes and assessments separately for any rental activity not through Airbnb.

In addition to the agreement with Airbnb, the City has been working to identify unpermitted short-term rentals and bring them into compliance.

Answers to Frequently Asked Questions about how to report rental income through Airbnb is available at this link.

For more information, please contact the City’s Business License Administrator at 805-781-7134 or by email at bt@slocity.org.