Could holiday rentals disappear in Spain?

The news came as a bombshell: Barcelona Mayor Jaume Collboni announced that he will withdraw the 10,101 tourist accommodation licences in the city by November 2028. The goal, according to the city council, is to "free up homes for residential use" and improve access to housing. But the sector's reaction has been swift. For many, this is not simply a regulatory measure, but a direct attack on a consolidated economic model. We spoke with tourism and real estate experts to analyse the potential consequences of this decision, not only in Barcelona, but throughout Spain.

“It’s not ordering, it’s destroying”

Silvia Blasco, chair of the Spanish Federation of Tourist Housing and Apartment Associations (Fevitur), is clear: “What Barcelona City Council is proposing is not a correction, it’s an amputation.” In her view, the move amounts to the deliberate dismantling of an economic model that “generates over €1.9 billion in GDP and supports 40,000 direct and indirect jobs.”

Blasco warns of the potential domino effect the decision could have on other towns and cities: “What’s happening in Barcelona is a pilot test to see how far a local authority can go when it chooses to sacrifice its tourism capital, local economy and international reputation for ideological reasons.” She adds a broader caution: “Today it’s tourist accommodation; tomorrow it could be restaurants, retail or any other regulated activity.”

In Blasco’s opinion, holiday rentals won’t vanish altogether, but their legitimacy will be “undermined and persecuted in their most regulated form.” She concludes: “What will disappear is the legal model – the one that pays taxes, creates jobs and contributes to quality employment. Barcelona risks losing its status as a leading European tourist destination. Not because it lacks appeal, but because its institutions are failing to manage it wisely. You can’t build a city by dismantling everything that made it thrive.”

“Legal uncertainty will scare away investment”

Juanjo Bande, a consultant specialising in tourist rentals, believes the impact of the measure will be “significant and multidimensional.” He highlights several immediate consequences: “Barcelona’s declining appeal as an investment destination, the flight of specialised companies, rising hotel prices, a loss of diversity in the tourist offering and diminished confidence in the city as both a residential and investment hub.”

Bande also warns of a looming paradigm shift: “Many people who have invested in property in Barcelona over recent decades did so under a legal framework that is now being fundamentally altered.” In his view, the growing sense of legal uncertainty could leave a lasting mark on the city’s reputation.

However, Bande notes that this measure is being implemented within a municipal framework: “Barcelona, while symbolically critical, accounts for only around 3% of Spain’s population and a similar share of the tourist rental market.” As each city council has its own urban planning powers and will act according to local circumstances, he does not believe this signals a definitive end to holiday rentals: “In the past twelve months, nearly 10 million tourist rentals have been made in Spain. This reflects a solid and sustained social demand.”

“We are witnessing a fresh paradigm shift, similar to the 2013 reform of the Urban Rental Law, which handed regulatory powers over tourist accommodation to the autonomous communities. Today, with urban planning emerging as the main axis of regulation, the sector is entering a new phase.”

Looking ahead, Bande predicts a transformation of the model towards “digital or flexible rentals”, where holiday lets, mid-term stays and room rentals will increasingly overlap. He identifies three key trends: growing digitalisation, greater professionalisation and more complex urban regulations that will require expert technical guidance.

“The hotel will gain market share, but at the cost of limiting supply.”

At Colliers, Carolina Pérez, head of the consultancy firm’s Barcelona office, agrees that the shift will be considerable. “The real impact will be felt from 2029 onwards, when demand for short-stay accommodation will have to be redirected. It’s not the demand that will change, but the legal framework that supports this type of service.” In this context, she notes that the hotel sector stands to gain, as it will absorb a larger market share in a city where “supply is already scarce and developing new hotel products is a real challenge.”

Pérez also anticipates that many property owners will be forced to rethink their strategy: “They’ll have to turn these homes into long-term rentals – often with price controls – or sell them altogether.” Even so, she does not believe Barcelona’s decision marks an irreversible shift for the rest of Spain: “Barcelona often leads when it comes to this kind of regulation, but that doesn’t guarantee it will be followed elsewhere.”

That said, she acknowledges that cities under significant tourist pressure, such as Madrid, San Sebastián and Málaga, might explore similar policies. However, she advocates for a more measured approach: “To strike a true balance between residential and tourist use, we should be looking at more flexible solutions or expanding housing supply through alternative models.”

Are holiday rentals in danger of disappearing?

The three experts agree that what lies ahead is not the extinction of the holiday rental model, but its deep transformation. The legal framework will inevitably shift, reshaping the way the sector operates. “We may be entering a period of better urban planning and improved coexistence between different uses, with more professionalised accommodation,” says Carolina Pérez.

The traditional model, largely driven by small, individual landlords, could give way to more structured formats, such as coliving spaces or serviced apartments, concentrated in designated tourist zones and managed by specialist operators. Holiday rentals are expected to continue, but within a new, more regulated, more professional – and, some argue, less free – ecosystem.