“Fundashon Cas Boneriano” (FCB) told the Dutch Second Chamber of Parliament (see related story) that short-term rental is contributing to a lack of affordable housing on the island. Homeowners prefer to target tourists, expatriates and interns rather than locals because they make more money that way.
It’s a development seen throughout the so-called BES islands (Bonaire, St. Eustatius and Saba) but also Dutch Caribbean countries Curaçao, Aruba and St. Maarten.
The Executive Council of Bonaire took relevant enforcement action against property owners in the Sabal Palm district based on its Spatial Development Plan ROB designating the area as residential, a ban recently upheld by the lower court. Pending possible appeals there is thus jurisprudence on the matter within the Kingdom.
To be sure, restricting vacation rental is becoming increasingly common globally, especially among homeowners associations. If there aren’t any such specific rules, however, legal regulations must determine how the practice can be tackled.
For example, St. Maarten has no lawful development plan or zoning despite decades of discussions. This makes it difficult at best to limit short-term rental.
A related problem is, of course, the non-payment of taxes on these online “home-sharing” activities, creating an unfair competition for more traditional and fiscally compliant visitor accommodations. Former Finance Minister Ardwell Irion had reported some progress in this regard before leaving office, but it’s not clear to what extent these efforts continue to be successful.
One way or the other, the issue deserves attention also in the interest of ensuring a level playing field for the hospitality industry.
