No, in Alberta, the owner of a condominium unit is always allowed to rent out their unit. There is nothing a Condominium Corporation can do prohibit this. Section 32(5) of the Condominium Property Act makes clear no bylaw can restrict a unit owner’s freedom to rent out their unit.
Often there’s a desire to restrict renters, as they are perceived as being problematic and unaccountable. But, in fact, the Condominium Property Act gives the Condominium Corporation all the power it needs to properly manage all units, whether they are rented or owner occupied. One simple means to protect itself, is the power to require a deposit for rental units. The deposit can be as high as one month’s rent.
For serious problems with a tenant, it is actually possible to evict a tenant without the unit owner’s consent. If a tenant is damaging the common property or in violation of bylaws, they can be evicted with one full calendar month’s notice. Excessive damage or presenting a danger to other other person on the proper, may justify an earlier eviction being approved in court. The relevant provisions of the Condominium Property supersede any lease with the owner, and the rights the tenant would normally have under the Residential Tenancies Act.
So, overall a Condo Corporation actually has more powers over a rental unit, as these powers are in addition to the powers it has for all units. So, for instance, if a tenant violates a bylaw that carries a fine, the owner of the unit is liable to pay the fine in exactly the same way as a unit owner would be if they personally violated the bylaw.