With the Sundance Film Festival arriving in Boulder in 2027, the city has introduced a brand-new permit designed specifically for festival periods: the Festival Lodging Rental License. Applications open December 1, 2025, and for many Boulder homeowners, this marks the first real opportunity to legally participate in short-term, event-driven rentals.
What is the Festival Lodging Rental License?
The Festival Lodging Rental License is a new, event-specific rental permit that allows Boulder homeowners to rent their property for up to 29 days a year only during city-approved, multi-day festivals... most notably, the Sundance Film Festival which comes to Boulder starting in 2027. The license is separate from Boulder's traditional short-term rental permit, and comes with far more flexibility.
Who can apply for a Festival Lodging Rental License?
Unlike Boulder’s short-term rental rules, which require the home to be your primary residence, the Festival Lodging Rental License:
- Allows second-home owners to rent
- Allows investment properties to rent
- Does not require owner occupancy
- Does not require the owner to live in Boulder
In other words, many properties that have historically not been eligible for short-term rental activity may now qualify for this limited, festival-only window. You still must apply before listing your property, and you must include your license number in all advertisements. But the ownership limitations are dramatically more flexible.
How to apply for a Festival Lodging Rental License:
Per the City of Boulder's FAQs: "Applications are anticipated to open on Dec. 1. As part of your application, you will need to obtain a business license, sign the affidavits for ownership, safety and occupancy, and pay the application fees. Once you receive your license, you can prepare your property for listing, either yourself or through a property management company. Visit Boulder has additional information on this step that you can read here. You will be required to pay the short-term rental tax for any nights your home is rented."
Be sure to sign up here to receive updates about Festival Lodging Rental Licenses.
Why this matters for Boulder Homeowners:
Sundance is one of the world’s most significant film festivals, drawing 70,000+ visitors, major press, filmmakers, creatives, and industry leaders. Hotel capacity in Boulder is limited, and festival visitors prefer walkable, design-forward homes close to venues.
For homeowners, this creates three major opportunities:
- Increased short-term income potential: During Sundance in Park City, nightly rates often climbed 3-5× higher than normal. With Boulder’s existing rental inventory already tight, festival-week pricing could be extremely strong, especially for homes near CU and Downtown.
- An opportunity for non-primary residents: Owners of second homes or investment properties may now rent within this specific festival window.
- Elevated long-term property value: Homes in walkable, centrally located neighborhoods already command a premium in Boulder. With Sundance’s arrival, demand and national attention could increase even further in certain areas.
Which neighborhoods are set-up to benefit the most?
- Downtown: Walkability to restaurants, venues, hotels, and Pearl Street makes this area the most conventionally “festival-friendly.” High demand, limited supply.
- University Hill: Close to CU’s performance and lecture spaces, which are ideal for screenings and panels. Perfect for festival-goers wanting quick access to campus venues.
- Chautauqua: Historic cottages and foothill views appeal to visitors wanting a scenic, retreat-like stay while remaining close to the action.
- Whittier: Quiet, charming, and centrally located - this area is walkable to Pearl Street and a likely favorite for longer festival stays.
- Mapleton Hill: Large, luxurious homes with historic character provide a space for visitors to host. The proximity to Downtown and beloved trails also add strong appeal.
If you plan to apply for the Festival Lodging Rental License, now is the time to prepare! Applications open December 1. And if you’d like to talk through neighborhood demand, investment strategy, or how this new policy may impact your home’s value, we’re here as a resource. We’d love to hear how the application process goes for you.
