BANFF – Visitor accommodations in residential districts are eroding community character and depleting residential housing supply the world over – from Barcelona, Amsterdam to Venice.
However, town planners in Banff say Canada’s premier national park townsite has been able to avoid situations playing out in other tourist destinations for a host of reasons.
“In a number of other municipalities, especially within tourist destinations, the conversion of residential dwelling units to commercial accommodation have introduced extreme stressors,” said Dave Michaels, manager of development services for the Town of Banff.
“Banff has been able to avoid this thanks to a combination of federal policy and municipal education and enforcement.”
In the mid- to late-1990s, early planners and politicians in the town saw what might become, and put a quota of 65 on the number of bed and breakfast homes and inns allowed in the town, which were allocated by district. Aside from calls to control rampant commercial development in the national park townsite, the proliferation of B&B operations at the time was one of the most contentious issues.
Now, a proposed new bylaw aims to strengthen regulations governing visitor accommodation within residential districts even further, but also use B&B rules to potentially save some of Banff's dwindling treasured heritage properties.
The quota of 65 has never been reached, and the proposed bylaw would change to a town-wide limit of 42 bed and breakfast operations, with no caps per district.
On top of the 42, there would be an allowance for an additional 15 provided they are located in legally protected heritage properties through the Town of Banff’s municipal historic resources legislation in an attempt to save heritage from the wrecker’s ball.
The change does not alter the combined potential maximum number of B&B homes and inns from 65, but alters how these might be distributed and allocated.
Coun. Barb Pelham indicated she may be interested in looking at an even lower cap over time for non-heritage based B&B properties, noting Banff continues to experience a housing crunch and low rental vacancy rates.
“If a B&B is sold, that licence would be up for grabs … if housing becomes more and more of a pressure point for our community, would it be a consideration perhaps for part of the bylaw to say that that licence does not come up for a lottery, but it actually is returned into all housing,” she said.
“I have a feeling that’s a bit of a bombshell, but I am wondering, just because we’re at 42, does it mean we always have to be at 42 or could there be a very slow trickle and attrition down to 38 or 35 and very slowly, as bed and breakfast sell or change?”
Michaels said there are ways to make the quota even lower than 42 if that ends up being council’s direction.
“You could reduce from 42 to a lesser number or you could reduce that number over a given time period and have language in the bylaw over what date that happens,” he said.
Pelham said reviewing the B&B regulations may be an ideal opportunity to evaluate this balancing act of “trying to build a better Banff” as outlined in council’s strategic plan.
“Sitting on MPC (Municipal Planning Commission) for the last four years, I’ve watched a lot of suites, basements suites, above-garbage suites, housing for our residents be converted for bed and breakfasts, “ she said. “It’s hard to watch.”
Michaels said he does not envy council having to make decisions on the value of competing priorities of housing for the community and preserving heritage properties, while also allowing some visitor accommodation in residential neighbourhoods.
He said 2017 census statistics show single detached housing makes up 13 per cent of Banff’s housing stock, second only to apartment housing, adding single family dwellings are not the highest and best use of a limited land base in Banff.
Pointing to bylaw changes in 2012 to increase density in most neighbourhoods to help deal with Banff’s decades-old housing crunch, he said council’s intent has been to “try to move the needle away” from this type of housing.
While allowing accessory guest accommodation only in single-detached housing could be viewed as a move away from densification, Michaels said the new regulations could also help preserve heritage homes.
“Our heritage inventory residential properties are largely made up of single detached housing, and so that’s always a hard line to balance around the need for housing in the community, but also that overarching goal of trying to preserve some of our heritage characteristics,” he said.
“The number we picked was to allow for some additional B&Bsover the current allocation, but really to reserve the lion’s share of that remaining allocation for designated heritage properties, and, of course, those numbers could be altered either way at council’s direction.”
The bylaw also proposes a change to the lottery process. If the maximum allocation is reached and a B&B allocation becomes available, a lottery process would determine the order in which new applications will be processed.
The proposed bylaw also includes language requiring accessory guest accommodation is only operated by the live-in owner and when they are in actual residence; however, new language indicates it may be operated when the live-in owner is not in actual residence only in unforeseen circumstances.
In addition, accessory guest accommodation applications will only be considered for the current live-in owner, which is different from the current situation where an application could be considered for a future owner provided that the application is approved by the current owner.
Katie Tuff and Yannis Karlos welcomed the measures in the proposed bylaw to encourage preservation of heritage homes, saying this is a “ray of light.”
They own a heritage home on the 300 block of Muskrat Street – the Anderson Residence built by J.D. Anderson around 1915 – and are wanting to operate a bed and breakfast operation.
“We want to thank the visionaries behind some of this because we really feel they are spot on,” said Tuff, in reference to the heritage aspects of the proposed B&B regulations.
“It’s an excellent middle ground. If we can set a goal today of being the very first to designate our home through the lens of these potential regulations, we are 99 per cent there.”
In 2020, MPC supported conceptual development of the property, with a four-plex at the rear of the property and retention of the heritage home.
Karlos said he and Tuff don’t view housing and B&Bs as competing interests.
“In the context of our specific property, there’s a number of strategies we can employ to increase housing stock while being able to operate a bed and breakfast on the property,” he said.
On the other hand, some B&B operators, however, have expressed concerns with some of the proposed new regulations, from the removal of a district quota, new parking regulations, and allowances for heritage homes – and want the issues discussed before council considers the bylaw.
April Wood, owner of At Wits End on Mountain Avenue, said she fears there are many unintended consequences, particularly around some of the new measures regarding B&B licences and heritage homes.
She said she believes B&B licences are being used as a commodity to move forward an agenda of the Banff Heritage Corporation.
“This agenda has become forefront and centre to all new B&B licences moving forward, contrary to the working group recommendations and the direction of governance and finance,” she said.
Wood said a new definition for live-in owner, which is expanded to include an individual who resides on a property – not necessarily an actual owner – that contains a municipal historic resource to allow more flexibility for heritage properties is a “red flag”.
“This opens a loophole,” she said.
“Anyone can purchase a home… make it become a historic resource, then easily acquire a B&B licence, have staff run it … so, in other words, a staffed vacation home for the wealthy, everything we seem to want to avoid.”
Following calls for more consultation of the new bed and breakfast regulations from B&B owners, council plans to have further discussions at the governance and finance committee meeting on May 8.
Before council considers the changes to the bylaw, administration will also seek Parks Canada’s opinion and get legal advice.
“I know this has been an ongoing process since 2019 and, personally speaking, going through this in the last week, I have a lot questions,” said Mayor Corrie DiManno.
“I will be encouraging that we’re thorough, take our time and get this right.”
