The STR issue should not be viewed in a vacuum, as many would prefer. We are where we are, largely because the WDCA and the IOP City Council fiddled, for many years, while IOP burned. We are at a crisis or inflexion point, if you will, and the future of IOP hangs precariously in the balance.
My name is Les Kutcher. I am an IOP property owner for 32 years, and have never held a STRL. In the interest of transparency, I am a Board Member of the WDCA, as is Terri Haack. Ms. Haack is also a devoted senior executive of the Lowe Corporation, the managing entity of the WD Resort. My comments are mine alone. They don’t in any way, reflect opinions or positions of the WDCA. I would also offer those opinions recently proffered by Ms. Haack, are solely those of the WD Resort, not the WDCA, or of a WD or IOP resident.
Now, to the issue of the day, the referendum to limit STRs is to be decided by a vote of IOP registered voters on 11/7/2023. Contrary to assertions by those that oppose a cap, the referendum does not abolish or even immediately limit the number of STRs on the IOP. All those that have a STRL, can maintain that license as long as they own their property and renew their license annually. Though it is true that those without a STRL will be unable to obtain a STRL until the number of those with a license falls below the established cap, this must be if we are to maintain the balance between full-time homeowners, 2nd homeowners, and owners of properties that rent, that has always been the goal. Supply and demand would suggest that those with a STRL would see the value of their property diminished by unrestricted access to a STRL. Full-time residents, have always been told that they must be sensitive to concerns of those who choose or need to rent their properties. I agree. What is seldom asked is for rental property owners to be sensitive to and respectful of the rights and needs of those who call IOP home.
Opponents of a cap assert that any cap on STRs will negatively impact property values by limiting the universe of potential buyers. Perhaps, but available data belies that contention. Home values are greater outside the gates of WD than inside, where fewer properties are available for rental. Property values on Sullivan’s Island, where rental properties are few by statute, is 2x greater than property values outside the gates on IOP. I would offer that failure to enact a limitation on STRs, will, overtime, reduce home values. A predominantly rental community is more sensitive to inevitable market downturns than is a homeowner-based community.
The STR issue shouldn’t be viewed in a vacuum. We are where we are, because the WDCA and the City Council fiddled, for years, while IOP burned. We are at an inflection point, and the future of IOP hangs precariously in the balance. IOP is a small, diverse municipality that has been overdeveloped and overbuilt, well beyond saturation levels, and well beyond those levels permitted in the original PRD. Our winter population is <5000. This July 4th, our numbers were projected to reach 65,000. We don’t have the infrastructure, including police and fire services to safely accommodate that number. Though it is often quipped, “It is better to be lucky than smart,” that isn’t a way to run an island. Day-trippers blame short-term renters, short-term renters and hotels blame the day trippers, and those promoting tourism insist there is no problem. Traffic and parking problems are ubiquitous and oftentimes make access for emergency vehicles a nightmare. We spend inordinate time and effort on how best to re-stripe an inadequate roadway, when the problem is too many people, renters, guests, and day-trippers on a small island without public transportation or readily available health services, and a fixed amount of roadway, parking, access, egress, and beach.
This isn’t a time for business as usual. This isn’t a time to follow the lead of a resort whose ownership has changed and is no longer homeowner friendly. This isn’t a time to hope that left alone, things will work out. For IOP to remain the only Coastal Carolina community without any limitation on STRs, is unacceptable. It is imperative that we begin the process of restoring and preserving IOP. Please be sure to vote on 11/7 2023 to approve the referendum capping STRLs. Vote, as well, to elect a City Council in sync with the needs of those committed to preserving IOP.
Dr. Kutcher is a retired physician and a full-time resident of the Isle of Palms.