Mortgage Broker in Folly Beach, SC

FOLLY BEACH — In a referendum locals viewed as a battle for the future of this barrier island, Folly Beach residents narrowly voted to limit the number of short-term rentals that can operate on one of Charleston’s most popular beach communities.

The vote for tighter restrictions is expected to slowly shrink the number of short-term rentals that can operate here.

“It looks like the citizens want to have a year-round community, not just a weekly community,” Mayor Tim Goodwin said after the results were in.

A narrow majority of voters, 53 percent, said “yes” to the only question posed by the Feb. 7 referendum. The results will be certified on Feb. 9.

Island residents were asked to decide whether short-term rental licenses on Folly Beach should be capped at 800.

According to unofficial returns from the Charleston County Board of Elections, just 77 votes separated the results.

Some 655 of the island’s registered voters agreed with the restrictions, compared to 578 who did not want to see the limit imposed.

At the heart of the one-question issue was a central concern shared by many Charleston-area beach communities: How do communities balance all that comes with being a tourist destination while still preserving what makes a place special?

Tuesday’s vote adds a fresh layer of local oversight but the impact of the decision could take years to materialize. Goodwin and city staff estimate it could take about three years for Folly Beach to drop down to that 800-mark.

Property owners have had to apply for short-term rental licenses since 2018. Currently, there are more than 1,100 active licenses on the barrier island, which accounts for some 40 percent of the island’s properties.

Under the proposed ordinance, owners with short-term rental licenses may continue to operate and keep their licenses until there’s a transfer to a new owner or family member. No new short-term licenses would be granted until the number of active permits falls below 800 — a figure based on the number of pre-pandemic licenses in 2020.

A waiting list would be established for future permits, but there are a lot of unanswered questions about further specifics or effects the limit would have.

Katherine Meader, who is one of those owners, voted “no” to the cap. As a mother of five, she said her vote was about protecting the future of her five children.

“They’re the ones who are going to carry it on. I just want them to be able to do the same thing that their mom has done without having to get in line behind someone who may have moved here a year ago,” she said. “I don’t want my kids to have to get back in line to apply for a license that might already be at its cap.”

Others saw short-term rentals and the flow of transient guests staying in them as a threat to the established community and its longtime residents who don’t want new neighbors every week.

Two advocate groups were especially vocal about the vote: Save Folly’s Future, which was pushing for the cap; and Folly United, which opposed the cap proposal.

Neither leader of the rival vote efforts could cast a ballot because they do not live on Folly Beach, but pro-cap John McFarland sat outside the polling place from 11 a.m. until polls closed at 7 p.m.

For Colleen Lamar, the vote “yes” was about preserving a place she loves.

“This will be my home until they carry me out in a box,” she said.

The referendum, at times, pitted neighbor against neighbor, with dueling yard signs along residential streets.

Folly is the latest beach community to make a decision about how to handle short-term rentals. Sullivan’s Island banned short-term rentals more than two decades ago. Isle of Palms could be next. On Feb. 6, the eve of the Folly Beach vote, a roomful of people attended a special workshop hosted by Isle of Palms City Council on short-term rentals.

Few local referendums have stirred as much passion, especially on a per-voter basis, as has Folly Beach’s upcoming vote in which city residents will decide whether short-term rental licenses should be capped at 800. We urge them to vote “yes,” because we believe every community should seek a responsible balance in its neighborhoods between full-time residents and commercial use.

While visitors from near and far have always made up a large part of Folly’s identity, many residents fear the balance is tipping permanently away from those wanting to live there full time. The island has about 2,600 properties, of which more than 1,000 — or about 40% — are now licensed and registered short-term rentals. More ominously, the city’s population has dropped sharply, from 2,617 in 2010 to only 2,071 a decade later, a 20% decline during a decade when our region saw a surge of new people moving in.

Folly residents took their concerns to City Council last summer, specifically asking it to consider this cap, and they were shut down within minutes. They then turned to a little-known and even less-used state law allowing them to put a proposed ordinance up for a binding public vote, provided they collect enough voters’ signatures. They did, and election day is Feb. 7.

Folly is far from the only municipality that has been seeking a proper balance between the economic vitality of short-term rentals and the relative stability and quietude of neighborhoods with mostly full-time, year-round residents. We have consistently urged local leaders to heed residents’ reasonable concerns about commercial encroachments along their residential streets and the problems with noise, parking and litter that some rentals bring.

Most cities allow short-term rentals, but with restrictions. Some have capped such rentals at a far lower number than Folly, while others have allowed homeowners to rent out only a room or two, provided they continue to live in their home. It’s an ongoing balancing act. Meanwhile, Folly has seen an increase in whole-house rentals that are altering the feel of its residential neighborhoods and creating mini-hotels in what once were single-family homes. If the trend continues unchecked, it’s reasonable to wonder if Folly will become so popular a place to go for a week that no one will want to live there year-round.

It’s important to note what this ordinance will and will not do. Those with short-term rental licenses may continue to operate, but it could be difficult or impossible to pass their license on to a new owner unless the city’s overall number of rentals dips below 800, which may take years. It’s unclear what effect it might have on homes currently under construction with the anticipation of getting such a license. In essence, investor-owned short-term rentals will remain a huge chunk of Folly’s housing stock in the years to come; the question voters will answer is whether those rentals gradually decline or continue to climb toward 50%, 60% or 70%.

But Folly voters should understand the Feb. 7 vote is by no means the final say. Even if voters put the ordinance on the books, Folly Beach City Council could amend it or repeal it down the road. And there certainly will be legal challenges.

While very few South Carolina municipalities have used this state law to set a binding vote on a proposed ordinance, the Folly Island Residents’ Association petitioned in 1984 for referendums on setting a height limitation of 40 feet in the commercial district and on rezoning a 57-acre tract for single-family homes, although no public vote was held until the balance of power on City Council shifted a year later.

Commercial interests and some individuals who own a beach house they rent out part time to help pay its expenses are urging residents to vote “no” on Feb. 7, arguing that a new cap of 800 short-term rentals could limit how fast Folly’s home prices climb. Voters ultimately must decide what they value most: their potential financial gain or their desire to ensure that most Folly homes remain places where people live for more than 30 days at a time.

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FOLLY BEACH, S.C. (WCSC) - A builder filing a lawsuit against the city of Folly Beach claims the city’s pause of short-term rentals on Folly Beach is unconstitutional.

Builder Michael Riffert with Folly East Indian Co., LLC says his business has been greatly affected by the pause on development, as well as the potential cap on short-term rentals.

Related: Folly Beach residents discuss pros and cons of short-term rentals

Riffert claims Folly Beach City Council has repeatedly done the right thing by not approving a cap on short-term rentals in three prior votes. However, due to a recent petition forcing a referendum to put a cap on these licenses, Riffert felt he needed to step in.

“It was not to stop a vote,” he said. “It was basically to stop our property rights being stepped on.”

Riffert has short-term rental licenses for numerous properties, including two homes in the commercial district.

“I have them for sale,” Riffert said. “And when the moratorium went on, all of my customers pretty much went away.”

He says people were hesitant to buy because they did not know if renting it out would be an option down the road.

Riffert filed a lawsuit against the city that states the moratorium does not comply with constitutional law. He wants to prevent the city from enforcing the moratorium and does not want them to act on the petition restricting short-term rentals.

“The petition is something that steps on your property rights, your 12th, and 14th Amendment rights, and I just feel like something needed to happen,” Riffert said.

Officials with the city of Folly Beach provided a statement in response to the suit:

The city supports the referendum process and the direct involvement of residents in our democratic process. As such, the city is defending our residents’ right to vote on this important issue. It is our hope that the judge allows this vote to go forward.

“We’re a tourist destination...” Riffert said. “If we lose that, the city’s going to hurt, we’re going to hurt, and we need to vote ‘no’ to have the city’s ruling, the city council’s ruling, to go back to the way it was.”

Riffert and his attorney decided to wait until the short-term rental cap special vote on Feb. 7 is final before they go before a judge.

The lawsuit can be viewed below:

Copyright 2023 WCSC. All rights reserved.

FOLLY BEACH — A longtime Charleston-area dining concept is on its way to the Edge of America at a prominent corner where numerous other restaurant venues have come and gone over the years.

Perry Hospitality Group LLC is adding a second Coconut Joe’s Beach Grill to the island’s beachside culinary scene as its 11th dining venue in South Carolina.

The restaurant operator on Feb. 9 paid $5.1 million for the two-story space currently occupied by Irish pub St. James Gate at Center Street and West Ashley Avenue, in the town’s commercial district about a block or so from the beach.

The property previously was owned by John Teevan through Stretford End LLC of Charleston, which bought the site for $2.175 million in 2020, according to land records.

St. James Gate, named for a section of the Irish capital of Dublin known for beer and breweries, has operated on the site since 2015.

The latest deal included the property and the restaurant business.

Teevan said he decided to sell after Perry Hospitality Group approached him with a proposition he believed was more than favorable.

“The other party made me a good offer,” Teevan said.

He noted the transaction occurred quickly and he hasn’t decided what his next move will be.

Perry Hospitality plans to move quickly to get the site ready in time for beach season.

“That corner is a great location,” said Perry Freeman, president. “There’s a ton of people and not a lot of places for people to go to eat. For a restaurateur, it’s the perfect location. I think we will do well in that spot.”

The property has been home to a number of dining venues over the past couple of decades. It once was a wine bar and restaurant called Eleven Center Street Wine and Gourmet followed by a seafood place named Conch.

Then came a country-cooking diner dubbed Center Street Kitchen and another seafood eatery called Folly Beach Shrimp Co. that included an upstairs dance club. For the past eight years, it’s operated as St. James Gate.

Since the beginning of the year, the roughly 8,000-square-foot venue has been closed for a previously scheduled mid-winter facelift. Freeman hopes to open the new Coconut Joe’s by April 1, “if all goes to plan,” he said.

During the next two months, Freeman and business partner Aaron Perry, plan to revamp the back patio area, which is now on the ground floor only. They want to add a second outdoor level.

“We are completely taking out what is there now and putting in two stories so there will be seating outside on the top and bottom,” Freeman said.

Once the new Coconut Joe’s opens, it will continue to operate with two indoor floors, but the second level will include a game room with arcade-type features.

“We want it to be more family-friendly,” Freeman said.

In addition to Coconut Joe’s on the Isle of Palms, which Perry Hospitality acquired in 2020, the restaurant group also owns Lawrence’s Seafood Co. next to Coconut Joe’s, The Shelter in Mount Pleasant and seven Charleston Sports Pub sites in the Lowcountry and Upstate.

One of the best things about Folly Beach is that it offers something for everyone. It has a relaxed, family-friendly vibe while at the same time offering a great selection of fun beach bars and nightlife. Its frequent festivals and events also have an atmosphere that is suited for all ages.

It's always a great time to visit Folly Beach, but fall is one of the most delightful seasons for a weekend on the edge of America. See why now is the perfect time to plan a weekend getaway to Charleston's favorite neighboring barrier island.

Why Visit Folly Beach In The Fall?

First and foremost, the weather is wonderful, but there is a fraction of the crowd. While temperatures are still toasty, it isn't quite so sweltering. The heat index in the summer is frequently over 100 degrees, with very high humidity. Expect fall temperatures to be in the 70s - 80s instead, with the ocean remaining warm enough for swimming too.

During the summer, traffic is often an utter nightmare; it can take hours to even get onto the island and find a parking space. By the time September rolls around, the crowd has thinned significantly, and it's smooth sailing. The beach itself also isn't so densely packed, so there is more room to spread out without being towel-to-towel with other beachgoers.

Finally, fall in the Lowcountry means the return of the oyster season, and Folly is full of the freshest shellfish offerings thanks to its surrounding marshland. The area is referred to as the 'Napa Valley of Oysters', and the local oysters are sought after nationwide; try them straight from the source!

Be sure to visit the iconic Bowen's Island restaurant, which has been serving up the daily haul of oysters and other local seafood straight from its docks since 1946.

RELATED: These Are The Best Times To Visit Charleston (& What To Do There)

Fido-Friendly: Folly Beach Dog Rules

From 1 May - 30 September, dogs are prohibited on the beach between the hours of 10 am - 6 pm. After September 30, Fido is welcome to hit the beach anytime; another point for Folly Beach in the fall!

Golden Retriever swimming in the ocean

The entire island very much caters to dogs. There is a slew of pet-friendly vacation rentals and numerous restaurants with pet-friendly patios. There is also a public dog park on the island where they can play.

What To See And Do In Folly Beach

Clocking in at only 12 square miles and the majority of the off-the-beach action is concentrated on Center Street. The majority of Folly Beach businesses are locally-owned establishments rather than chain retailers, adding to the strong sense of community.

The shops stock more than just run-of-the-mill beach souvenirs; there are many local artisans who sell their handcrafted items too. Besides clothing and beach goods, there are also surf shops, massage and yoga studios, and a thriving restaurant and bar scene.

Located a block over from Center Street sits Bert's Market, which deserves a special shout-out. Bert's is a Folly Beach institution, adhering to its slogan of ´we may doze, but we never close.' That's right, Bert's is open around the clock. Bert's vibe can't quite be described with words, but the funky little corner store will quickly become a daily go-to. It also has a full-service deli, hot food bar, ice-cream counter, and a great selection of beer and wine.

With its small size, Folly Beach offers great walkability (especially in the pleasant fall weather). In fact, there are even walking history tours of the island and the Morris Island lighthouse.

Those wishing to leave the car parked at the rental (or leave it behind altogether) have other options for getting around too. Bicycles, mopeds, and golf carts can all be rented on the island and make getting around a breeze (plus, they're a ton of fun).

beach bike ride

Hitting the sand is super simple in Folly Beach, thanks to its ample beach access points. There is public access to every single block along the island, and on-street parking is free in most places. Just make sure all four wheels are off of the road (that includes golf carts, too) in order to avoid a ticket.

Folly Beach is known for having some of the best surfing in the southeast. Advanced surfers can head to the washout section of the beach, and novices can take a lesson from one of the several reputable surf schools on the island:

For those who want something a bit more relaxed, the coastline is also littered with shark teeth. Take a stroll at the low side and keep your eyes peeled for teeth hidden in among the sand and shells.

Another great way to enjoy Folly Beach and the surroundings is by boat. Take a sunset sailboat, booze cruise, fishing charter, or rent kayaks and explore the inlets all around the island.

While there are dozens of delicious options to choose from, here are some of the perennial crowd favorites to suit a variety of tastes:

RELATED: Common Mistakes To Avoid When Booking A Vacation Rental

Where To Stay In Folly Beach

Another perk of a fall getaway to Folly Beach is the low-season accommodation rates. Most rentals offer considerable discounts after the peak summer season.

While there are only two actual hotels on Folly Beach (The Tides and Folliday Inn), there is a huge selection of vacation rentals to suit all tastes and budgets. There are oceanfront condos, large, modern houses, and funky beach shacks reminiscent of a bygone era. There are also riverfront homes with private docks for anyone looking to bring the boat along. Besides Airbnb, there are numerous vacation rental offices on the island that can help to find the perfect rental while also providing tons of local insight and island recommendations.

Finally, it is worth mentioning that many short-term vacation rentals on the island become available for monthly rentals from September onwards (usually until March/April). So for anyone looking for an extended stay, fall is also an excellent time to lock in a seasonal rental.