Sustainable Tourism Law

196 SUSTAINABLE TOURISM LAW zones, establishing a different regulation for each one with regard to the ability to establish new holiday properties (this does not, however, affect current legal holiday properties that already existed, with certain exceptions). The regulation is highly restrictive in central areas of the city (e.g. new holiday properties are banned in zones ZE-1 and ZE-4) and somewhat less restrictive farther away from the centre: in this sense, in zones ZE-2 and ZE-3 new holiday properties may be established, albeit with certain limitations. The main limitation concerns the cancellation or deregistration of a pre-existing holiday property for every new holiday property permit. This, therefore, ultimately means replacing an existing holiday property (which is deregistered) with a new one (which is authorised). In general, the introduction of new holiday properties requires this use to be allowed by town and country planning laws. The Plan also prohibits them from being located on the ground floor, as well as converting buildings or premises purposed for housing on 01.07.2015 into holiday properties – representing a major limitation. In addition, in order to establish new holiday properties, the Plan also requires all members of the respective owners’ association to request permission to modify the entire building’s use/activity to holiday property, which excludes there being any permanent residential properties in the building. This means the entire building must be used for holiday properties. 2. Region of Madrid In the Autonomous Region of Madrid, Decree 79/2014 of 10 th July 5 regulates holiday apartments and holiday properties. It dedicates only four articles to them – an indication of how superficial this regulation is. With regard to the substantive requirements on establishing holiday properties, the Decree is scarce. In this sense, it requires the business to operate for a minimum period of three months per year. It also requires a minimum structure or layout for properties (living-dining room, kitchen, bedroom and bathroom); that there be a permanent helpline for tourists; that the properties come furnished for immediate use (they must have Wi-Fi), and that the entire property is rented (not by room). The original Decree also established a minimum period of five days rental for these properties, although this rule was annulled in ruling 291/2016 of 31 st May by the High Court of Justice of Madrid. The Court agreed with an appeal made 5 Official Journal of the Region of Madrid (“Boletín Oficial de la Comunidad de Madrid”) of 31st July 2014.

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