I was surprised by two things when Chattanooga banned new short-term rental applications:
First) that it even passed
& 2nd) that the grandfathering clause conveys with the deed on all future sales [†]
But still I consider this a small and necessary victory to prevent future homebuilds from unhousing. A year later (last year) our surrounding county also placed its own bespoke STR restrictions, mostly different from the city's (of course!).
[†] IMHO, these have ALWAYS been a violation of most SFH zonings (e.g. R-1), so I would like to see some sort of "phase out" or "non-conveyance" so that eventually everybody is following laws enacted of its constituencies —if not immediate/timed
If you want to play hotel owner then build one without exploiting people that want to live normal lives with their families.