Law Changes to Boost Short Term Rentals in Andalusia

January 26th, 2021

On the 12th of March 2020, hours before Spain’s socialist government politicians imposed a nationwide lockdown, their Andalusian counterparts passed an untimely regional Law Decree under the exuberant and encouraging name “Law Decree for the Improvement and Simplification of Laws for the Promotion of Productive Activity in Andalusia”.

The law contains an undisguised declaration of war on red tape, specifically on certain aspects of the planning laws governing the grant of “build licenses” and more importantly, on the dreaded yet coveted LFOs-or License of First Occupancy or Occupation-, a piece of paper without which you cannot, in theory, turn your property into an Airbnb money-making asset via applying for a “Holiday Rental” registration.

The revolutionary norm now allows architects to substitute Town Halls in the monopoly of grant of LFOs and gives them powers to sign off properties that, in accordance with applicable laws and regulations, would be entitled to get one (because they are law compliant or where not, because enforcement action is barred due to passing of time); and this is no small feat because, all over Andalusia, many properties would just simply never get an LFO no matter how hard you tried and how long you waited.

Qualified architects will now be able grant LFOs by means of a “responsible declaration”, an equivalent to a sworn oath or affidavit where an architect, subject to certain verifications, will issue a fully valid LFO.

This is very significant in municipalities that have endemic license processing issues or are short of staff to process LFO applications rapidly. But also, those properties that having been built legally no longer are, due to planning permissions being removed or declared illegal, most notably in Marbella (circa 30,000 units).

Do you want to rent -or sell- your property but you lack an LFO? Get in touch with me and I will sure help you.