Property owners in Las Vegas face $55,000 fine for illegal short-term rentals

LAS VEGAS (KSNV) — The city of Las Vegas continues to crack down on illegal short-term rentals, with violations punishable by fines of several thousand dollars.

After an attempt to appeal $55,000 in fines, Las Vegas City Council members have shown property owner Jonathon Tyler Foulks that they do not take unauthorized rental operations lightly.

“On top of my mortgage, the penalty is essentially foreclosure. That’s far too high a penalty for what I did,” Foulks said at Wednesday’s council meeting.

While Foulks admitted to running a short-term rental, he said he was unaware it was illegal.

“I know it’s done and I know it’s messed up. When … the building inspector first approached me, I took it off the books for about a month or so,” he told the city council. “And … I’ve talked to friends about how this LLC idea allows them to buy into an LLC and it’s not a short-term rental.”

MORE ON NEWS 3 |Cooling comfort: Mobile air conditioning rental company helps Las Vegas residents with appliance problems

Eric McCoy, head of the Las Vegas Code Enforcement Department, said the defendant used a fake local business license and, after several visits from Code Enforcement officers, illegally continued the short-term rental business by advertising his property on numerous occasions.

“Mr. Tyler stated that he could not imagine that the city could dictate what he should do with his property. Mr. Tyler was warned that he would face enforcement action,” McCoy said.

A city-approved short-term rental map shows Foulks’ property near Oakey Boulevard and Arville Street is within the boundaries of two already approved properties. City ordinance requires approved short-term rentals to be no closer than 200 yards apart.

“I’ve stopped short-term rentals completely,” Foulks told council members. “It’s off the books. As soon as all that happened, it was over. The property is actually losing a lot of money right now. It’s unrented, I can’t find anyone to rent it.”

Now Foulks has to pay a hefty $55,000 fine and says he fears the punishment will hurt him financially.

“I don’t think what they’re charging me is too much. It’s basically going to bankrupt me,” Foulks said.

“We are learning transparency and consistency in following the law. And when we are wrong, we say so, and when we are not wrong, we stick to it,” said Las Vegas Mayor Carolyn Goodman.

The city has offered Foulks the opportunity to enter into a payment plan. If he accepts but fails to pay, the city could place a lien on the property and add interest to the $55,000 fine he already owes.