Summary:
- On June 21, 2024, Barcelona Mayor Jaume Collboni announced plans to ban all tourist flats by November of 2028. The city defines tourist flats as residential properties rented for stays of up to 31 days.
- The ban is meant to address tourism’s impact on the local housing crisis and soaring rental prices.
- The city will phase out Barcelona’s existing 10,000 short-term rentals and stop issuing new licenses.
Lodgify was founded in Barcelona in 2013. The city’s vibrant culture, which draws travelers from around the world, has made it the perfect headquarters from which to grow our business and empower our customers to grow theirs. So, of course, we were stunned to hear about Barcelona’s plan to ban all tourist apartments starting in November of 2028.
Short-term rental regulations are nothing new, being implemented all over the world to help alleviate housing shortages, rent inflation, and excessive tourism. But Barcelona’s move surpasses even the strictest regulations we’ve seen so far, including those in Amsterdam, Berlin, and New York.
For Barcelona’s 10,000 existing tourist apartments, this move will require strategic adaptation leading up to the ban.
Housing shortages demand creative problem-solving
This isn’t Barcelona’s first proposal to control tourism’s impact on housing: The city implemented a complete ban on private room rentals in 2019, but with no notable effect. Rent prices continued to rise, prompting numerous anti-tourism protests and growing discontent within the residential community.
The new ban is city officials’ latest solution to this unsolved problem.
Barcelona Mayor Jaume Collboni was quoted as saying the following: “More supply of housing is needed, and the measures we’re presenting today are to provide more supply so that the working middle class does not have to leave the city because they can’t afford housing. This measure will not change the situation from one day to the next. These problems take time. But with this measure we are marking a turning point.”
Opponents of the ban, on the other hand, wonder whether a clearer legislative framework might make it unnecessary and worry about the potential negative effects of such a radical change. After all, the ban will only exacerbate what’s already an incredibly politicized issue and overlooks the positive benefits short-term rentals bring to the local community and economy.
Tourism’s positive impact on Barcelona’s economy
Barcelona’s tourism sector generated €9.6 billion in 2023, creating nearly 130,000 jobs that year alone. For the first time ever, the majority of these jobs were permanent contracts. What’s more, unemployment in Barcelona’s tourism sector saw its second-lowest figures since 2007, something to be celebrated in a country that continues to struggle with unemployment.
Barcelona’s tourism industry undoubtedly contributes to its strong overall employment levels, and it’s safe to assume that this ban will have a negative impact on these numbers.
At Lodgify, 58% of our Barcelona-based customers offer between just one to three short-term rental properties. These customers are mostly professionals with a secondary income or small businesses, and they might be impacted by this new ban.
Vacation rentals are a vital source of income for Barcelona and its residents, and we’ve also heard from our Barcelona-based hosts about how their businesses have benefited their livelihoods and other small businesses in their areas. We understand the challenges faced by the city regarding housing affordability, and will always advocate for vacation rentals to operate responsibly and comply with regulations. However, we believe there are other solutions that won’t stifle economic growth and ensure Barcelona remains a vibrant destination for both residents and tourists alike.”
-Dennis Klett, Lodgify Cofounder and CEO
What to expect leading up to the ban
However you feel about the ban, preparing for the upcoming changes will be crucial.
While exact dates and changes are still up in the air, we can likely expect a period of public consultation, in which the public can provide feedback on the proposed changes. At this point, Barcelona officials will likely implement new measures gradually leading up to the full ban to give hosts time to adapt. They may start to enforce stricter licensing requirements and noncompliance penalties, and then begin slowly phasing out existing licenses.
We’ll share additional updates as the timeline for the proposed changes becomes clearer.
The future of hosting in Barcelona
The full ban may be years away, but understanding and preparing for the updated regulations will be essential for short-term rental owners as it approaches. Staying informed about the new and changing rules will reduce the financial and operational impact to your business.
As always, Lodgify remains committed to supporting our Barcelona-based hosts through this transition. We’ll be monitoring these developments, providing guidance through our blog and newsletter, and supporting hosts in any way we can along the way.
