Clay, NY Short-Term Rentals: Short-Term Rental Permits (2026)

Town of Clay Code § 230-11 defines a 'BED-AND-BREAKFAST RESIDENCE' as a type of home occupation in an owner-occupied, single-family residence offering overnight lodging for guests or tourists, with dining facilities limited to those overnight guests. Because a B&B is classified as a home occupation rather than its own use category, it must satisfy the special-permit standards of § 230-27I(2)(a) in full: only one home occupation per dwelling unit, an application from the owner or an authorized representative, and a floor plan showing the space devoted to guest use, capped at 25% of the first floor or 500 square feet, whichever is less.

The permit under § 230-27I(2)(a)[4] is issued specifically to the residents occupying the dwelling; it terminates automatically when those residents move out and cannot be transferred to an incoming owner or tenant without the Zoning Board of Appeals' express approval, meaning a buyer of a B&B property cannot simply continue operating on the seller's permit. If the bed-and-breakfast stops operating for six consecutive months for any reason, § 230-27I(2)(a)[3] requires a fresh application to the ZBA before it can reopen. Because it is a home occupation, the operation is also bound by the 7:00 a.m. to 9:00 p.m. hours limit, the ban on nonresident employees absent a licensing mandate, and the prohibition on exterior signage beyond one two-square-foot identification sign.