Wealthy Nantucket residents have scored a legal win against neighbors who were operating short-term rentals out of their historic district.
Massachusetts Land Court judge Michael Vhay ruled that vacation rentals violate zoning laws in the island’s ritzy historic district.
The judge sided with Silver Street resident Cathy Ward in her lawsuit against neighbors Peter and Linda Grape, who had been operating short-term rentals on West Dover Street in Nantucket.
The judge overturned a September 2024 decision by the Nantucket Zoning Board of Appeals that had permitted the rentals.
Vhay ruled that current zoning bylaws prohibit rentals shorter than 31 days in the Residential Old Historic district, except for room rentals within owner-occupied homes, as reported by the Nantucket Current.
The decision ultimately bans most short-term vacation rentals in the neighborhood.
The ruling comes after years of dramatic neighborhood disputes over vacation rentals on the exclusive enclave, which is known as ‘Billionaire’s Isle’.
Town officials have tried six times to legalize short-term rentals through local votes but residents have repeatedly rejected the proposals.
The most recent attempt in May failed despite majority support as it fell short of the required two-thirds threshold.
Town counsel John Giorgio had warned voters that rejecting local solutions would leave the matter ‘in the hands of a judge in Boston.’
‘It is in the best interests of the town – it’s actually imperative – that you solve this problem locally,’ Giorgio said ahead of the vote.
‘And I mean here at [a] town meeting. If you don’t, as I’ve said before, you’re leaving it in the hands of a judge in Boston to make this decision for you. That comes with a substantial amount of risk to the town, to homeowners, both seasonal and year-round residents.’
But planning board chairman David Iverson called the decision ‘far more damaging’ than Judge Vhay’s initial ruling in March 2024.
He claimed that without explicit zoning approval, the rentals ‘are not legal.’
‘I also don’t think he’s wrong in saying that unless it’s expressly allowed in the zoning code, it’s not allowed. That’s our problem. They’re not legal. That’s the importance of putting a Y (yes) in the use chart and regulating through a general bylaw.’
Iverson accused ACK Now, a campaign group made up of local residents, of having hidden motives and claimed the decision ‘shows the true intentions’ of the group.
‘It’s frustrating,’ he said. ‘We’ve gone down this road and the decision shows the true intentions of ACK Now: It’s not to protect locals’ right to rent, it’s to stop all short-term rentals. I hope this motivates people. I’m not pro short-term rentals.’
He warned that the ruling creates a ‘troubling’ precedent that could potentially hurt future generations with regulatory challenges.
‘I want to create a regulatory system that works for the next generation and is not so cumbersome that those who come after us don’t have the same challenges with regulations. So I think this is a troubling decision.’