Spain: CNMC’s Appeal Dismissed Against the Bilbao Regulation on Apartments Used for Tourism

24 June 2019 - Andoni Archanco

The Basque Country’s High Court of Justice (Tribunal Superior de Justicia) upheld the  regulation of the Bilbao City Council that limits and governs the implementation of tourist apartments, and dismisses the appeal filed by the National Securities and Competition Commission (Comisión Nacional de los Mercados y la Competencia or CNMC).

The ruling denies the possibility for the real estate market itself to regulate the implementation and coexistence of residential use for touristic purposes with that of habitual dwellings given that it would endanger the citizens’ constitutional right to housing.

In this respect it expressly indicates "it must be known that the planner is legitimised and even obliged to promote the urban planning regulations necessary to conciliate the right to housing with the use of certain dwellings for tourists, where the alternative is not reasonable, that is, to leave it to the market to decide according to the free will of the owners of the dwellings, given that this could endanger the citizens’ right to housing, whether it be due to insufficient housing in the resulting configuration, or to higher rental prices for housing uses.”

For further information: Andoni Archanco