The Essentials You Need to Know:

The Municipality of Lisbon (the City Council) has approved a new set of rules to control Local Lodging (AL – homes rented to tourists, such as on Airbnb). The main goal is to find a balance in the city: ensuring there are homes for Lisbon residents (the right to housing) while managing tourist activity.

In short: It has become much harder to open new ALs in the most central and sought-after areas.

🎯 The Main Changes, Explained Simply:

The new regulation defines how, where, and when an AL can be owned or opened.

1. End of “Saturation” in the Crowded Neighborhoods

The "containment" rules (AL limits) have become much stricter in areas where many tourist accommodations already exist:

• The Ratio Dropped: The maximum limit of ALs in an area has been reduced by half or more.

  • In Absolute Containment zones (most saturated), the limit changed from 20% to 10% (i.e., there can only be 10 ALs per every 100 homes).

  • In Relative Containment zones, the limit changed from 10% to 5%.

• Affected Areas: This means that very central neighborhoods and freguesias (parishes) (such as Arroios, Santo António, São Vicente, Estrela, etc.) are now under a much more rigorous containment policy.

Practical Example: If your property is in one of these central areas, it is almost impossible to get a new AL license, as the limit has likely already been reached.

2. Monitoring by Neighborhood

Instead of only looking at the entire Freguesia (parish), the City Council will monitor smaller neighborhoods. This allows saturation to be controlled more fairly and effectively.

3. New Rules for "Room" AL (Extra Income for Residents)

An exception was introduced to help residents:

• Where it is allowed: In areas that are only in Relative Containment (the less saturated ones) and only in T2 (two-bedroom) apartments or larger.

• The Rule: Residents living in their permanent homes can rent one or more rooms to tourists.

• The Goal: To provide a supplementary income for Lisbon families, without removing entire homes from the residential housing market.

4. Restrictions on License Sales

• Limited Transferability: In containment areas, it is harder to sell or transfer the AL license.

• Municipal Properties: If the City Council sells a property in a public auction, it cannot be converted into Local Lodging exceptionally.

In Summary: The new Lisbon regulation reinforces control over Local Lodging, prioritizing residents and aiming to ensure that tourist activity is more sustainable and balanced in the capital.