A new tourist rental law was published today (Decreto-Lei n.º 76/2024, de 23 de outubro) and comes into effect on 1st November 2024. This law revokes many of the measures implemented by the “Mais Habitação” law approved in October 2023, and changes the entire landscape of the Alojamento Local sector in Portugal.
The following is a very quick summary of the changes, of which the first two listed below are the most important. We will update this post as and when new measures or changes emerge.
– the new law revokes Article 19 from the “Mais Habitação” law, and therefore new AL registrations are allowed in the entire country from 1st November, except in certain situations in Contention Areas (currently only implemented in most of Lisbon, and in central Ericeira) and Suspension Areas (Vila Nova de Gaia). Porto is currently preparing the introduction of Suspension Areas in the central parishes of Cedofeita, Santo Ildefonso, Sé, Miragaia, São Nicolau, Vitória and Bonfim.
– AL licences are now transmissible, under all circumstances (except in contention areas, if municipality rules are different).
– when an AL is implemented in a primary residence, there is no longer a limit to being open for more than 120 days
– hostels still require unanimous approval of the condominium to obtain an AL licence in horizontal property buildings
– the municipality can oppose the registration of AL’s within 60 days (90 days in areas of contention)
– the owner can request an inspection during the process if licence not given
– AL licences are not allowed in a property in contention areas where a long-term rental contract has been registered in the previous 2 years.
– the condominium can request the cancellation of an AL if voted by a majority (more than 50% of the total owner share) if there are proven and repeated acts of disturbance. The municipality will then decide, and the licence can be immediately cancelled, but with a right of reply in person, and in any case may only be cancelled for a period which can’t exceed 5 years
– the maximum capacity of AL’s registered as Apartamentos or Estabelecimento de Hospedagem is 9 rooms and 27 guests.
– fold-up or extra beds may be installed as long as their number doesn’t exceed 50% of “normal” beds.
– the person responsible for the AL has to communicate their telephone number AND email address to the condominium administration
– the municipality may, at any time, request that the AL licence holder provide the contract of the appropriate AL insurance within 3 days.
– AL’s registered as Estabelecimento de Hospedagem may implement other services such as the provision of food and drink
– Municipalities may create Contention Areas and Areas of Sustainable Growth, which may limit the registration of new AL’s
– Contention Areas are defined as those having a surplus of AL’s. Areas of Sustainable Growth are defined as having special monitoring measures to prevent a surplus of ALs.
– AL’s in the Rooms (Quartos) category, may only be installed in properties designated as Habitation
– AL’s in the Apartamentos and Moradia categories, may be installed in properties of any designation (Commerce, Services, etc)
– For Estabelecimento de Hospedagem, the municipality may determine that a property designation other than Habitation is necessary
– the implementation of AL’s may be prohibited in the initial title deed document of the condominium, or in the condominium rules. To change the condominium rules to prohibit AL, a 2/3rds majority is needed, and this prohibition ONLY applies to future AL’s, not to existing ones.
– In Contention Areas, the transmission of AL licences may be prohibited only for AL’s registered as Apartamento or Moradia, and does NOT apply to situations of: inheritance, divorce, transmission to spouse or legal partner, children or parents.
– municipalities with more than 1000 registered AL’s must implement rules to govern the local implementation of AL’s within 1 year, otherwise national law applies.