Mr. and Mrs. Haimbaugh asked the town for a 30-year extension because they wanted the rental income from the property to cover their investment.

Jan. 24 Property rights in a multimillion-dollar neighborhood on Jetton Road collided with the concept of adequate compensation for a lost use Monday night at Town Hall. Steve and Lisa Haimbaugh rent their $1.2 million home on Jetton Road for $5,000 a week in the summer, generating $50,000-plus a year in revenue.

It violates the town’s vacation rental ordinance, but it allows the Haimbaughs to make their mortgage payment. Paul Duke, whose $1.975 million home is next door, asked that the town uphold the ordinance vacation rental ban, which would force the Haimbaugh’s close down what amounts to a bed and breakfast in February, when a three-year grace period comes to an end.

Mr. and Mrs. Haimbaugh asked the town for a 30-year extension because they wanted rental income from the property just outside the exclusive to cover their investment.

Some history: The Haimbaughs purchased the property for $1.1 million back when vacation rentals were allowed in Cornelius. They purposely bought just outside of The Peninsula where the homeowners association forbids short-term rentals. They said they added $700,000 in improvements to enhance their property’s rentability.

Neighbors at Jetton and Brigadoon were up in arms Monday night

The public hearing ran almost three hours at Cornelius Town Hall, with tears from Lisa Haimbaugh and pointed testimony from neighbors and a lawyer the neighbors retained.

While the neighbors along Jetton and nearby Brigadoon—where a million-dollar home is an entry-level dwelling—complained of late-night volleyball tournaments, trespassing vacationers and errant jet skiers, the debate boiled down to whether three years was time enough for the Haimbaughs to recover from the loss of the ability to rent out a waterfront playground with dwellings on it, not just one.

Indeed, while the Haimbaughs said they poured $700,000 into improving the property for the rental market, their building permit suggested they spent $595,000 less.

Meanwhile, in 2009, 2010 and 2011, they pulled in $150,000 in rental income, according to Town Commissioner Chuck Travis.

The Town Commission’s vote came two hours and 55 minutes after the public hearing began: All five were against giving the Haimbaughs an additional 30 years to recover from an investment that is sinking like a pair of Ray Bans in Lake Norman.

The Haimbaughs, who also have a home in Charlotte, said they will lose the property to foreclosure.

Mayor Jeff Tarte, meanwhile, is calling for various lake agencies, including Duke Energy and the Mecklenburg County Land Use and Environmental Services Agency, to look into what may be illegal dredging and filling by the Haimbaughs who wanted a beach for their customers.