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This story has been updated to include a statement from the City of Carmel issued after Tuesday’s deadline.
The City of Carmel and a vacation home business have reached a settlement agreement, following a lawsuit that alleged the company illegally operated a short-term rental property in the city.
On March 21 and May 31 of this year, the company Vacation Homes LLC, through its owner, Serena Burkard, received notices of allegedly violating Carmel’s Unified Development Ordinance.
The lawsuit, filed in July, claimed the company was illegally operating a short-term rental property on Singletree Court.
An attorney for Vacation Homes LLC and Burkard told the Indiana Lawyer via email he had no comment on the settlement.
“We are satisfied with the terms of the settlement. The City of Carmel has a process for homeowners wanting to pursue a permit for rental of their property. We will continue our enforcement efforts to bring non-compliant properties into compliance,” Samantha Karn, corporate counsel for the City of Carmel, told the Indiana Lawyer in an email.
On Nov. 21, the two parties reached an agreement. Burkard and the company are prohibited from listing the Singletree Court property or any other property within city limits on any short-term rental platforms.
Any short-term rental listing by the company will result in a $5,000 per day per listing penalty. The company will also be responsible for any costs or fees the city incurs from the properties.
Properties can be used as short-term rentals if the homeowner is granted a special exception by a hearing officer with the Carmel Board of Zoning Appeals, according to the city.
Homes can be rented for 30 days or longer without authorization from the City of Carmel.
The case is City of Carmel v. Vacation Homes LLC, Serena Burkard, 29D07-2407-MI-007642.
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