Granting the issuance of a conditional use permit to Marmar Atallah and Hana Shehadeh to allow the operation of a short-term rental on property located at 3408 Eastham Drive; providing a severability clause (Case No. 332-2025).

The City Council is considering a Conditional Use Permit (CUP) for Marmar Atallah and Hana Shehadeh to operate a short-term rental (STR) at 3408 Eastham Drive. The request is for a Tier 2 STR, allowing up to 210 nights of rental annually and a maximum of 8 transient guests in the 3-bedroom, 2.5-bathroom home.

Compliance Issues & History: The property has been operating as an illegal STR since November 2024. Owners received two Notices of Violation (NOVs) in June and July 2025 for non-compliance, which they claim were not seen. The case was referred to the City Prosecutor, with a Municipal Court hearing scheduled for December 10, 2025. Other past code violations include resolved landscaping issues and blocking a sidewalk (2023).

Community Opposition: Staff received four emails and one phone call in opposition, citing concerns about another licensed STR within 280 feet, trash, parking, marijuana odors, property values, and lack of owner communication. Neighbors also reported continued illegal operation, including a rental as recently as November 5, 2025, and concerns about proximity to the Beth Shalom Synagogue playground.

Applicant's Defense: The owners stated they are now taking steps to be responsible, including hiring professional lawn care and a "super host" property manager (Jessica Simpson) to handle communications and ensure compliance. They clarified that the manager had removed the STR listings from Airbnb and VRBO.

Planning & Zoning Commission Decision: Despite staff recommending approval (with conditions for 8 guests and 210 nights), the Planning and Zoning Commission denied the CUP by a 4-3 vote on November 6, 2025. Commissioners expressed significant concerns about the owners' track record of non-compliance, communication failures, and the continued illegal operation despite notices.

City Council Recommendation: City Manager & Staff recommend that the City Council deny the conditional use permit, aligning with the Planning and Zoning Commission's decision.