As the art deco core of the city, South Beach is one of the most sought after sections of the city for those looking for Miami lodging. The South Beach area lies on the southern tip of Miami Beach and covers less than 7 square miles of land. Miami Beach lodging in the area is very hard to come by, particularly during major holidays, special events and the area's high season.
To understand the reasons for the limited space in South Beach for Miami lodging facilities, one must look back at the history of the area. Miami Beach was incorporated in 1915, and South Beach was one of the first areas in the city to be developed. The city became a draw for tourists almost immediately. Soon, hotels were erected throughout South Beach, with the height of development for these Miami Beach lodging facilities occurring during the 1930s and 1940s.
The historic hotels that remain in South Beach are very much a reflection of the time in which they were built with small rooms that maximize the limited amount of space available for real estate development in the small community. During the 1970s when the extended stay concept began to gain popularity throughout the country, hundreds of smaller buildings in South Beach were converted to short-term rental properties. Unfortunately, this caused problems for the community; renters often did not respect the city or the neighbors of their extended stay properties.
To help preserve the peace of South Beach, the city passed an ordinance in 2008 that outlawed short-term rentals of houses in the area. The law did allow 50 existing short-term rental homes with exemplary reputations to continue to accept guests as "grandfathered" properties.
Due to the ordinance, the most common types of extended stay facilities in South Beach are: