With the publication of Decree-Law No. 76/2024 of October 23, the legal regime for Local Accommodation (Alojamento Local, or AL), established by Decree-Law No. 128/2014 of August 29, undergoes significant changes, reversing various limitations introduced in 2023 by the Mais Habitação program.
This new legal framework will enter into force on November 1, 2024, with the aim of strengthening the stability and legal certainty of the local accommodation activity, while also addressing the economic and urban concerns that have arisen in recent years in Portugal.
Among the main changes is the revocation of the Extraordinary Contribution on Local Accommodation (CEAL) and the age coefficient, both of which had already been eliminated in August 2024. The new legal document also clarifies the role of local authorities, granting them full decision-making power over the regulation of AL in their respective territories.
Municipalities now have one year to approve specific regulations, based on areas of containment and sustainable growth, which must be properly substantiated and reassessed every three years. During this period, upon proposal by the city council and deliberation by the municipal assembly, the authorization of new registrations in certain defined areas may be suspended for one year, until the new rules come into effect.
The new regime revokes the suspension of new AL registrations, the expiry of inactive registrations, the non-transferability of licenses, the obligation to review all registrations in 2030, the limitation of the registration duration to renewable periods of five years, and the veto power of condominiums (which now remains only for hostels located in autonomous units).
However, municipal regulations may at any time reintroduce restrictions, validity periods, or limits to license transfers, making it essential to closely monitor local authority decisions. Another important innovation is the creation of the figure of the Local Accommodation Ombudsman, whose functions include supporting the management of conflicts between residents, owners, and condominium members, handling complaints, issuing recommendations, and providing best practice guidelines for the sector.
As for the capacity of AL establishments (excluding rooms and hostels), this is now limited to nine rooms and 27 guests (previously 30 guests), although supplementary or convertible beds may be installed, provided the total does not exceed 50% of the existing fixed beds. The possibility of installing commercial establishments and providing services in properties built before 1951 has also been extended, as long as all current legal requirements are met.
Finally, the supervision of Local Accommodation will henceforth be the exclusive competence of municipalities and ASAE (the Authority for Food and Economic Security), with parish councils no longer playing a role in this area. It is therefore crucial that all operators closely follow the new municipal provisions and ensure compliance with the legal obligations now defined for the sector.