FOLLY BEACH, S.C. (WCIV) — A South Carolina appeals court has upheld Folly Beach’s limit on short-term rental licenses, allowing the city to keep its cap of 800 vacation rental permits.
City leaders say the cap was approved by voters in 2023 with the goal of maintaining a balance between tourism and full-time residents on the island.
The decision comes after some property owners challenged the policy in court, arguing the cap prevented them from renting their homes short-term. However, the court sided with the city, ruling the policy regulates business licenses rather than zoning. That distinction was central to the legal challenge…