Alojamento local: Qual o ponto de situação atual?

Recently, the government announced new housing measures aimed at addressing the housing crisis in the country. Many of these measures aim to encourage the transfer of Local Accommodation (AL) properties to residential use. These measures will have a devastating impact on the sector and have sparked outrage among those working in it.

Focusing on Local Accommodation, let's analyze what was initially stated:

  • No new AL licenses will be issued, except in rural areas in a specific range of municipalities.
  • Existing licenses will undergo reassessment in 2030, with periodic reassessment every 5 years thereafter.
  • Transfers of AL to the rental market between February 2023 and the end of 2024 will be completely exempt from rental income taxation until 2030.
  • For AL properties choosing to continue their activity, an extraordinary contribution will be imposed to finance housing policies.
  • Condominium assemblies, with approval from over half of the building's permillage, can oppose the operation of AL in a specific fraction.

New updates on the topic have been released, and the draft laws related to the "Mais Habitação" program, evaluated at 900 million euros, are now open for public consultation. The public consultation period for the "Mais Habitação" program was initially until March 13, but it has been extended to March 24, specifically for some topics such as Local Accommodation and Golden Visas, at the request of the National Association of Portuguese Municipalities.

Nuno Fazenda, Secretary of State for Tourism, mentioned to the media that old AL licenses will not be revoked. He stated, "There isn't a single license being taken away from people who have Local Accommodation operating today, and what is planned afterward is a deadline until 2030 for that license to be reviewed and decided by the citizens. Always in a logic of integration and valorization of cities and historical centers." For new registrations, suspension is expected, as initially announced by António Costa, except for some areas in the interior of the country.

This has been reinforced in the draft law, clarifying that the suspension of AL, besides rural areas, will not apply to the Autonomous Regions. AL with mortgages will keep active licenses until the full repayment of the housing loan. After the entire outstanding capital is repaid, the license will be subject to renewal every 5 years, similar to others.

Nuno Santos Félix, Secretary of State for Fiscal Affairs, recently discussed housing measures and tax changes in an interview with SIC Notícias. One of the main topics was the extraordinary contribution outlined in the proposal: "We want to promote the conversion of AL into housing; that's no secret. (...) The extraordinary contribution is only for areas with urban pressure. If the contribution applies, among the areas where it applies, there is differentiation according to the value of rents in that area." Nuno Félix emphasized that whether AL properties are affected by the extraordinary tax or not will be at the discretion of municipalities, which will define their areas of urban pressure, where they will have this "instrument" to intervene.

Among the proposed laws, there is also talk of the possibility for condominiums to terminate AL licenses issued without their approval. ALEP - the Portuguese Association of Local Accommodation - has already expressed its opinion on this, stating that it will be another step towards the end of AL and the decline of tourism.

The public consultation period is expected to end on March 24, revealing the final decisions on the proposals of the "Mais Habitação" plan.


Sources: SIC NoticiasSapo. // Photograph: Jorge Van Hall   

15th March 2022


Download 'WHAT'S ON' January '24