It is interesting from a Constitutional standpoint especially for us as Christians. I remember about a year or two ago about the case of the couple who wanted to have regular Friday night swingers parties out of their home. Everything was behind closed doors and while there was initially a parking situation, that was remedied. I think the case turned on whether it was actually a business since there was a "cover charge" supposedly going for the munchies, but was way to much for that. I don't remember the result.
In any case if we throw all that out and suppose they just wanted to peaceably "swing" (or whatever), what do we say the government SHOULD do, if anything? This might be where Libertarians and Christian Conservatives part company. My answer would be to let community standards rule. So, while I would dislike a gay community banning a church, I would put up with it if I could keep a swingers club out of my neighborhood. I would, though, have a different view if commerce was involved.
This is one of those rare times we disagree.
I do agree if commerce is involved govt does have a role. However, once you let the "community standards" start determining who can gather in a house you open the door for discrimination like we see in this case. In the example you give of the swingers club as long as it is behind closed doors and doesn't involve minors who's business is it?
As a Christian I find that kind of thing offensive and would probably want to stand out front praying for them and exhorting them not to do it, but I do not want the govt saying they can't do it. The next thing you know a predominantly Mormon community will find it violates their community standards and disallow a Trinitarian Christian group gathering in a home. ;-0