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Ontario Cottage Rental Managers Association

Changes to Niagara-on-the-Lake’s Short-Term Rental Bylaw on Hold

By OCRMA on 29 July 202514 August 2025

Short-term rental bylaw updates have been put on hold by Niagara-on-the-Lake councillors so town officials can talk with residents about density and cottage and villa limits.

“Let’s not rush the decision,” Jason Clements, a real estate agent and former owner of Niagara Holiday Rentals, told councillors, urging them to gather more data on the proposed short-term rental accommodation bylaw.

That includes whether a moratorium on the number of rental facilities in town should remain and phasing out cottage rentals, an idea he opposed.

Al Legal, a board member for Stay Niagara-on-the-Lake, told councillors during their July 22 meeting he also wanted a delay so “further changes” to the proposed bylaw could be made.

The organization supported establishing spacing requirements of 150 metres between short-term rental accommodations, prohibiting short-term rentals that have pools and establishing a density requirement.

It also wants the town to reduce the number of “unhosted” short-term rental accommodations in the town to improve neighbourhood “cohesion” and limit related traffic.

Councillors agreed to defer voting until the fall.

This is the second time councillors said further public input should be gathered. In May, they agreed town officials would meet with local operators about proposed bylaw changes, focusing on such issues as enforcement and capping licences.

Councillors did approve the bylaw, but also requested staff craft amendments to it focused on density limits and restricting licences for cottages and villas.

In May, Clements said any ban on short-term rental licences would hurt tourism.

There are currently 399 short-term rentals, encompassing about 1,000 rooms, with 210 cottages, 21 villas, 18 vacation apartments, 136 bed and breakfasts and 14 country inns. Town staff said about 58% of the short-term rentals are in Old Town and 53% of rentals are cottages.

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