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Spain's Horizontal Property Law Reform Requires Community Approval for Tourist Rentals

25-04-23, 12:00 a.m.

New regulations mandate homeowners' associations' approval for short-term rentals in residential buildings.

Effective April 3, 2025, Spain introduced important reforms to its Horizontal Property Law that significantly impact property management, particularly in residential buildings with short-term or tourist rental units. The updated legislation requires property owners to seek explicit approval from their homeowners’ association—also known as the comunidad de propietarios—before offering their units for tourist rentals. This approval must be granted by a qualified majority of at least three-fifths of the community members, representing a substantial shift in decision-making power towards collective governance and resident input.

The reforms aim to address growing concerns among permanent residents regarding noise disturbances, security, and the impact of transient visitors on shared living environments. To further mitigate these issues, the law empowers communities to impose increased maintenance fees—up to 20% above standard charges—on properties used for tourist rentals to compensate for the additional wear and tear and increased utility consumption.

For property managers, these changes necessitate a careful review of current rental operations and close collaboration with homeowners’ associations to ensure compliance with the new rules. Failure to obtain the necessary approvals can result in legal penalties and potential removal of tourist rental privileges. Furthermore, these reforms reflect Spain’s broader efforts to regulate the short-term rental market, balance tourism with residents’ quality of life, and preserve the stability of housing markets in urban centers.

Staying informed and proactive regarding these legal requirements is essential for property managers to navigate the evolving regulatory landscape effectively and maintain good relations within residential communities.

https://www.osborneclarke.com/insights/spains-horizontal-property-law-reform-requires-express-approval-tourist-apartment-activity
Author: Osborne Clarke

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