Local Accommodation, where do we stand?

Since the current local accommodation law came into force at the end of 2018, 2167 complaints have been filed. From the beginning of 2019 to the end of 2021, the Food and Economic Safety Authority (ASAE) has opened 828 local accommodation (LA) administrative offence proceedings. Around half of these proceedings ended with the voluntary payment of fines by the operators. During these 3 years, 61 cases were filed and three were closed with reprimands of the owners.

The current legislation determines that, in the case of LA opened in autonomous fractions of buildings, the condominium assembly can oppose the exercise of this exploration since by “the decision of more than half of the permilage of the building” and whenever it is proven the practice of “acts that disturb the normal use of the building, that cause nuisance and affect the rest of the condominium owners”.

Also the local authorities can oppose the operation of AL whenever: “there is any nonconformity in relation to the information or document in the register”, in case it falls within containment areas defined by the municipalities or when they do not comply with the general conditions and safety requirements determined in the law.

By the end of June this year there were 16,702 terminated registrations, however it is not possible for us to ascertain the reasons that led to the cancellation of the activity.

According to the Associação de Hotelaria, Restauração e Similares de Portugal (AHRESP), there are 32,405 LAs in the south of the country, generating around 981.5 million euros.

Albufeira, Loulé and Portimão are the three cities in the Algarve where the vast majority of these accommodations are concentrated. This sector is responsible for contributing 354 million euros to the GDP and for around 20,000 jobs.

After the Supreme Court of Justice presented its Uniform Jurisprudence Judgement on 22 March 2022, the legislation governing this activity is shrouded in some confusion. In this sense, pressure has increased for the creation of adequate laws, and bills have already been presented by several political parties in parliament.


Source: Diário de Notícias

8th August 2022

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