Market players call the bill a “Trojan horse” for hoteliers
By Chrysostomos Tsoufis
The Ministry of Tourism aims to separate the chaff from the wheat with the bill that sets minimum standards for properties that are available for short-term rental and has been in public consultation since December 5.
No more warehouses and basements that turn overnight into “doll” accommodations.
As expected, the disputed article 3 concerning these specifications is also the one that has gathered the most comments. The majority’s objections concern the controls.
On the one hand, as argued, procedural issues arise since the physical presence of the owner is required, who may be unable for any reason, let alone when the property may be located in some remote area of ​​the territory.
But there seems to be a problem, according to the factors of the short-term rental market, and with the body responsible for carrying out the controls, which is none other than the Ministry of Tourism. Given that short-term leases are urban leases, the market fears that scrutiny by the Ministry of Tourism may lead to appeals and possibly court rulings to label the properties touristic.
If such a thing does happen, many properties such as apartments in apartment buildings must automatically be “excluded” from short-term rental, since the bylaws of many do not allow the existence of apartments for tourist use.
In such an eventuality, the same factors argue that the ones who will be affected are the small owners who have 1-2 apartments and not the large companies who have bought entire apartment buildings for the purpose of short-term rental.
Somehow and in extremis, some believe that the bill will act as a Trojan horse for hotels to reduce short-term rental properties and therefore competition.
According to the bill, in order for a property to be available for short-term rental, it must cumulatively meet the following conditions:
- To be an area of ​​primary residential use and to have natural lighting, ventilation and air conditioning
- To have liability insurance for damages or accidents that may be caused (The Panhellenic Association of Property Managers characterizes the measure as unnecessary since short-term rental platforms offer relative security up to €1 million)
- Have an electrician’s responsible statement, fire extinguishers and smoke detectors, cut-off relays or anti-electric shock relays and escape markings
- To have a certificate of mycicide and disinfestation, a pharmacy with first aid items, as well as a guide with emergency telephone numbers.
At the moment, the short-term rental properties are estimated at around 160,000 throughout Greece and it is estimated that the vast majority meet the specific conditions.
The verification of compliance is carried out by an on-site inspection by the employees of the Ministry of Tourism (sometimes also through mixed echelons with AADE inspectors) while informing the owner at least 10 days before the inspection is carried out.
In case of non-compliance, the fine is €5,000, for which there are also many complaints.
The administrator has 15 days from the confirmation of the violation to adapt. A fine is also imposed in the case of obstructing the control.
Recidivism within a year of the first check results in a doubling of the fine. Each subsequent violation quadruples the fine to €20,000
Source: Skai
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