If you own a whole-home, non-primary residence rental in Mission Beach, your chance to obtain a Tier 4 STRO license is now because the waitlist application window reopens again for the first time in 3 years. These licenses are rare and essential for legally operating a high-demand vacation rental in this iconic beach neighborhood.  To help you out, here’s everything you need to know about navigating the Tier 4 License Waitlist Lottery.

Tier 4 in Mission Beach – Why It Matters

  • Exclusive to Mission Beach: Tier 4 licenses cover whole-home rentals in Mission Beach’s Community Planning Area (CPA) when the owner doesn’t live onsite.
  • Capacity capped at 30% of housing units in this zone (≈1,082 licenses) — all were filled by late 2022.

New opportunity: The City reopened the waitlist for the first time since November 2022.

Waitlist Application Window

  • Opens: July 1, 2025, at 10 a.m. PST
  • Closes: August 15, 2025, at 5 p.m. PST
  • Processing: Completed applications enter a random lottery, results published by August 22, 2025.

This is a strict 45-day window—no exceptions. Applications received outside these dates will not count ().

Required Documentation & Info (Tier 4 Waitlist Application)

Ensure your application is complete and accurate—ineligible or missing information means potential disqualification:

  • Property address and APN (Assessor Parcel Number) within Mission Beach CPA
  • Host Details – this is the license holder
  • TOT Certificate
  • Local Contact details – This is your vacation rental manager
  • Rental Unit Business Tax Number – If you’ve paid this then it should automatically populate
  • Right to Occupy Documentation you are legally permitted to rent the property on a short term basis – so if the property if in the name of your trust, then your trust may need to lease the property to you.
  • Maximum number of guests
  • Link to a listing on a hosting platform such as AirBnb or VRBO
  • Host ID from hosting platform
  • Application Fee: $41

How the Waitlist & Lottery Works

  1. Open period: Submit your application between July 1 and August 15, 2025.
  2. Complete submissions only: City confirms eligibility, incomplete apps are disqualified.
  3. Random lottery draw: Determines position on the waitlist but does not guarantee a license.
  4. Results: Published on the STRO website by August 22, 2025.
  5. If selected: Complete full Tier 4 licensing (fee payment, TOT cert, signage, Good Neighbor Policy, 24/7 contact).

Current license holders may apply and must cancel any lower-tier license upon approval  .

Common Pitfalls to Avoid

  • Waiting until the last minute and not giving yourself enough time to obtain a TOT certificate or the Rental Unit Business Tax number
  • Neglecting post-lottery steps such as payment and signage
  • Dropping below 90 rental days per year—license revocation risk
  • Not cancelling existing license before paying for final license
  • Ensure host information is consistent with all documentation provided

After You Receive Your Tier 4 License: What Comes Next

Winning the waitlist is just the first step. Tier 4 licenses carry year-round obligations:

  • Display exterior signage at the street, showing your STRO license # and 24/7 contact
  • Publish license number on all listings (Airbnb, VRBO, etc.)
  • Ensure contact availability within one hour of complaints
  • Sync calendars across platforms to avoid overbooking
  • Submit TOT taxes monthly or quarterly
  • Renew your license every 2 years (no auto-renewal)
  • Use your rental a minimum of 90 days per year—tier requirement
  • Maintain booking & compliance records for 3 years

Let’s position your listing for Top Hosting status—where performance speaks louder than claims.

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