Illegal letting inspectors now posing as Turismo quality researchers

[fifi]

An update on the illegal letting situation from Janet Anscombe.

29 November 2014

We are on the verge of seeing the draft of the private letting regulation that the Canarian government is about to introduce, with most legal and tourism experts now believing that the regulation will be minor and highly restrictive, covering no more than 25% of the current private letting market. This will comply with the requirement in recent urban letting legislation for autonomous communities to regulate all types of rentals - and it is this which is behind the tourism law amendment, of course, though the regional government has been able to make itself appear to be listening to pressure groups like Ascav and Alotca.

So apart from the small minority of lettings that are likely to be able to become legal tourist rentals, the rest is expected to be banned, and so to remain illegal, and I can now confirm that illegal letting inspectors are not only continuing their work, but fines are also still being issued for lack of tourist paperwork, complaints book etc. The inspectorate has taken on board the judgments in favour of Alotca`s appeals, and is doing what the courts demanded: they cannot just take an advert off the internet and issue a fine on that basis as they were doing previously, but an internet advert can serve as a trigger for a more rigorous inspection.

At least one way in which the inspectors are being “more rigorous” is to pose as tourism quality researchers, knocking on doors in pairs with questionnaires and an independent witness, e.g. residential community president, tourism complex agent. etc. Welcoming the occupant to Tenerife, they ask about quality, services, cost, efficiency, all while implying that this is to benefit Tenerife`s tourism â€" which in their view, of course, it does.

This questionnaire has no legal standing in and of itself, but because it is filled out voluntarily in the presence of a witness, it is integrated into a formal report and denuncia. It is not difficult to imagine how hard it would be to construct a successful defence against that. Owners are in a difficult position, therefore: they either have to tell their “guests” to refuse to fill in questionnaires, with inevitable and possibly awkward explanations, or they should advise their guests that they might be visited by “tourism inspectors” and encourage participation as an occupant resulting from a “personal agreement”.

Guests are asked to sign the questionnaires, and one thing that should be added specifically is that the letting is a private arrangement with no tourist services being supplied. This is far from satisfactory, and guarantees nothing in terms of a successful appeal in the case of a fine, but it will be better than nothing. Clearly the only safe thing to do is not to let illegally, and those who feel they have to continue should at least be very careful not to advertise in such a way that these inspections are triggered. Of course I`ll post about the draft regulation as soon as I have the information to hand.

[woe10]

There's a few in Caleta 

[TropicalFish]

Good update Fifi.

Woe10
whether or not you are an avid supporter of the Tourist Inspectors or would rather they were  simply not there.  If you have any more information it would doubtless be well received by both camps.

Do you know:
- when did they start
- how many of them are there
- what level of activity are they conducting ie. Door knocking every door, in every street
OR seemingly cherry picking
- what has the general sentiment been of a) tourists b) local businesses
at having inspectors interviewing people whilst on holiday.

Any info would be gratefully received.

[Ivemovedon]

At the boarding gates there are people asking every group of passengers a couple of specific questions. basically were you on holiday in private accomodation or on a package tour.

[TropicalFish]

Very interesting.

Were they asking for addresses do you know?? Or just taking private / tour numbers only?


It seems somewhat underhand, as one would naturally assume as a passenger that this is part of the border control / immigration process. Unsure whether that's lawful under EU law - must seek to clarify.

As if it's unlawful, the Canarian lawyers must surely strive to restrict such a practice post haste.


Don't wish to jump to conclusions but if they're capturing all addresses at the border. Fuerte will become an AI ghost island literally overnight.

[Ivemovedon]

Didn't seem like normal market research. Had that before and the questions are wide ranging. This was a bit too specific, but i have no idea who they were. Did not ask for any actual address so maybe trying to get a clue to the numbers of tourists renting privately.

[Deso]

There's a few in Caleta 

Would that be inspectors or illegal holiday lets?  ( 'Both' is not an acceptable answer )   

[Ivemovedon]

Might be nonsense to you mate but while its not the quite the stuff of the grim reaper its still a subject of concern to a lot of people. Unless you got anything worthwhile to comment on the subject it might be best to keep quiet.

[duncolm]

All we were asked on boarding our flight 2 weeks ago was how long we'd stayed for and did we stay in Hotel or Apartment.
I can only guess it's a numbers gathering thing at this stage.

[TropicalFish]

Thank you for the replies. Very informative and thankfully Old Nick isn't holidaying in Fuerteventura just yet.

Long may the island be full of prodigal tipsy seafaring persons. 17% increase in numbers from 2013 ytd can only be a good thing.

If there is sight of tourism inspector hide or hair please share.

[woe10]

I love this site. This Island is booming with holiday makers spending money like drunk sailors. Lots of new businesses opening every day and the the Grim Reaper is about to come among us. Nonsense.

Where are you talking about    Caleta's like a ghost town at night.

[fatherted]

Where are you talking about    Caleta's like a ghost town at night.
[/quote]
Oh yes, you should try getting a seat in the Dog,Legends or Pierros or is it lifelike spirits that are filling these places nearly every night?

[Ivemovedon]

point is how many of the people filling these places are staying in private rented accommodation.  We'll soon find out when they kill off the alternative market to package deals.

[Deso]

point is how many of the people filling these places are staying in private rented accommodation.  We'll soon find out when they kill off the alternative market to package deals.

+1

[fifi]

The article gives an explanation of the ammendments to the 1995 laws which were made in May/June last year. It should not be taken as Gospel because Lawyers from the different Islands all seem to interpret the laws in different ways. That is the reason why there are new clearer guidelines being proposed at the moment. Worth a read....



What are the short term holiday rental rules in the Canary Islands?

April 11, 2014 in News, Taxes & Laws



This topic generates a lot of debate and rumors in Gran Canaria and the Canary Islands: The situation is complex as it is covered by two different laws. Here`s the background and the situation as it currently stands.

Two new regulations came in force in 2013, redefining and specifying some unclear aspects of the previous rules, namely: the Canarian Tourist Renovation and Modernization Act dated May 29th 2013 (Ley de Renovación y Modernización Turística de Canarias), and the modification of the Tenancy Act, with measures to flexibilize and promote home rentals, dated 4th June 2013, which we wrote about in our post “Most relevant aspects of the new Tenancy Act in Gran Canaria”.

To establish the regulatory frame that applies in each case, the first thing we need to analyze is the land use classification of the land where the property is located, according to the municipal planning rules. The land can be classified as:

1)      Residential use

2)      Tourism use

We will analyze both cases separately:
1)      Residential land use classification:

A property built on land classified for residential use, can be offered by the owner as “season letting” according to the Tenancy Act, as long as it is NOT “commercialized and promoted through tourism channels”, because otherwise it would be subject to the specific tourism sectoral regulation, which in the case of the Canary Islands is mainly the Canarian Tourism Act (Ley 7/1995, de 6 de abril, de Ordenación del Turismo de Canarias), and not to the Tenancy Act.  Further, this kind of letting should not be a “business or commercial activity”, which could be assumed if the same person has several apartments/ units on offer, or if additional services (cleaning, catering, etc.) are offered. The contract should clearly be between 2 private parties, incorporating elements of the Tenancy Act and excluding any type of services.

So if you advertise the letting on “tourism channels” (caution as they are not clearly defined in the law), or if it can be considered a business or commercial activity, the applicable regulation would be the Canarian Tourism Act, which leaves no room for individual property owners to undertake private holiday lettings, so the rental would not be legal.

However, there are some social movements pushing for regulations that allow private holiday lettings e.g. http://www.change.org/es/peticiones/gobierno-de-canarias-regule-ya-los-alquileres-vacacionales and regulatory changes are possible in the future.
2)      Tourism land use classification:

Although there has traditionally been a wide tolerance of residential use (for season residence, or even permanent residence) of properties located on land classified for tourism use, the new Canarian Tourist Renovation and Modernization Act dated May 2013 has come to specify that these properties can be used exclusively for tourism purposes and have to operate as tourism establishment with a valid license. Residential use is expressly prohibited.

According to the Canarian Tourism Act, a tourism establishment can be operated by one single company/hotel operator who holds the tourism license for that building, and the operator is obliged to have an agreement to operate more than 50%* of the units of that building. The remaining units can be used by their owners for their own use for holiday purposes but not for renting them out, neither for short term (because this can only be carried out by the licensed hotel operator) nor for long term, because the regulatory changes of May 2013 have redefined the use of these properties and excluded their use for residential purposes.

In the past many complexes located on tourism classified land were purchased in units by individual owners, and in many cases they did not arrange a satisfactory agreement with a hotel operator, for different reasons (lack of profitability, desire to make an own use of their apartment…), and thus decided to stop the tourism activity and deregistered their tourism license at the competent authorities. This is the case of innumerable complexes in areas like Puerto Rico, Playa del Cura, Maspalomas, Playa del Inglés.

With the new regulation approved in May, this possibility is limited : Complexes with a valid tourism license should continue to operate as tourism establishments and fulfill the corresponding legal requirements. It is not possible or at least advisable to deregister a tourism license.

One possible solution for complexes whose owners can`t reach a satisfactory agreement with an external private company is to run the tourism establishment and have the license on the name of the Community of owners, which is expressly foreseen in the law.

With a license the Community of Owners could run the complex with more flexibility regarding periods for own use and renting out. They would not need contracts with touroperators, but the owners could use the apartments for holiday purposes and also rent them out, as long as this is done under the umbrella of the official establishment, and fulfilling all legal requirements. Some of these requirements are:

â€"          Reception

â€"          Registry of users of the complex, and monthly statistics of users to be sent to the authorities

â€"          List of maximum accommodation prices applicable in the establishment

â€"          Availability of customer claim forms

â€"          Periodical technical inspections of the building to assure the tourism standards are maintained

For complexes that deregistered as tourism establishments in the past, it can be difficult to reobtain the tourism license as they may not meet the currently applicable standards. This needs to be studied for every particular case.

The regulation approved in May 2013 establishes that the town planning authorities should analyze every area in detail, identifying areas with tourist buildings that are being used for residential purposes, and specializing or reclassifying their uses accordingly. While the actual use of these buildings might be residential, as long as the land is not reclassified for residential use, any kind of short term rental in such buildings should be avoided, because not having a legal residential use, they would not be covered by the Tenancy Act and thus be in breach of the Canarian Tourism Act.

*the 50% applies for all establishments authorized before March 1999, for those authorized later, 100% of the units need to be under the tourism operation.

Disclaimer: The information and materials on this blog are provided for general informational purposes only and are not intended to be profesional, tax or legal advice. The law changes frequently and is subject to interpretation. Being general in nature, the information and materials provided may not apply to any specific factual and/or legal set of circumstances.  No client relationship is formed nor should any such relationship be implied. Nothing on this blog is intended to substitute for the advice of a profesional, especially in tax and legal matters. http://www.cardenas-grancanaria.info/en/news/rules-about-short-term-holiday-rentals-in-the-canary-islands.htm

[woe10]

Sorry, I fell asleep half way through 

[fifi]

If anyone is thinking of buying a place to retire to please be very careful about where you buy. With the law as it currently stands you can not use your apartment for residential use if part of your complex is being operated as a Tourist complex. You can only use it for holidays according to the interpretation by some Lawyers. I can think of several complexes which are operating like this at the moment in Caleta which have units for sale to clients who will know nothing about this. It is dreadful really. Some examples, Caleta Dorada, Club Montecastillo etc. Please share this information to anyone that you know who is thinking of buying ANY kind of property whether it is Residential or Touristic. If the buildings have not already been reclassified how do you know what laws will eventually apply to your property.

When the Draft proposals are translated by Janets Lawyers hopefully we will find out more.

It may not be of interest to you Woe. I dont know if you rent or own a property but I do know that it does affect many people and I am pretty sure they will not all fall asleep . Go and have a nice little sleep now.

[Ivemovedon]

Wheres the EU when you need them. The Spanish are messing around with peoples lives by not being able to get a coherent rental policy established . Instead of messing about with directives on the size of bananas they need to give them a good kick up the ass to get it sorted. And fine them if they are incapable of providing a law which is understandable to everyone. Not just something open to different interpretation by different lawyers.

[fifi]

In Spain if you manage to get a petition with over 15000 signatures the Law has to be looked into. The last petition got more than 20000 and that is the reason why the Laws are being made clearer or possibly changed Holierthanthou. Hopefully not long to wait now to see the Draft proposals.

[fifi]

I forgot to mention that there was also talk a while ago about the possibility of  reapropriatiation.   It may not happen, but there is a chance that some of the complexes which were once Touristic which were sold to private buyers will be bought back renovated and opened again as Touristic.  Basically they can do what they like and ammend the Laws and plans to suit themselves......one of the benefits of being Autonamous.

[Ivemovedon]

Nice for them. Like i said its the EU should be on the case. They are quick enough to look after the rights of Bulgarians and Poles moving around the continent.What about those that live permanently on touristic designated complexes illegally.  Like mainland Spain could it be property grabs?. Surely they couldn't do that could they?. Oh forgot.... yes they can , they did it in Valencia. Not just the renters who are having to watch their backs now.

[fifi]

Its a pity that the old Forum is gone because I could have shown new members all of the articles about the changes that are being proposed for the Island and they are lost now since the change over.

Basically the Island plan is for it to be eventually a five star Island. A lot of the older ex Tourist Complexes which were sold off to private buyers are on prime Tourist land close to the beaches and they would like the opportunity where possible of getting them back.

The complexes that were visited were given two years to get into ship shape.....or face the possibility of being knocked down or bought back and reused again as Tourist accommodation. Soft loans were being offered and there was a deadline for applying. My old complex was visited about a year ago and lost one of its stars. It has a mix of residential and Touristic. I presume that the other Complexes have been too.

If complexes are not upgraded to an acceptable standard they will be forced to sell. How many Communities will have the extra funds for upgrading to current standards ? How many owners could pay a one off fee of possibly thousands of euros? I imagine not many.

So.....it is quite simple for the Island Plan to regain the prime spots to succeed. Once again....it is in my opinion a case of Buyer beware. There are changes on the horizon. It may take years if all of the Complexes have not been vetted but I do know that my Complex was about a year ago.

[Ivemovedon]

I don't see too many 5 star looking tourists around when i'm over there.   See quite a few though who look like they don't have a pot to pizz in.

The rich ones must all be hiding in the A/I hotels.

My wife and i think Fuerte is the least 5 star destination we can think of, thats why we like it. I think they have delusions of grandeur.. and thats what their 5 star dream will remain. A delusion.

[fifi]

To be fair I think that the improvements that they have made in Caleta have made it more upmarket. Very snazzy in places.   I think most people love the Island just the way it is. Those horrible new murals are far from five star, I think they got it wrong there.

[Ivemovedon]

Fifi they just don't have the mind set for 5 star. If you look at the most expensive hotel in the north possibly even the whole island in Corralejo they have allowed a rotting building site to stand opposite it for years. They can try as hard as they like but if they don't get the basics right they are doomed to failure. And you're right too much meddling will change the character of the island from the one that we all seem to love. I changed my mind on the murals when i saw them on site. They do actually look good. But there again you don't plaster the walls of 5 star resorts and towns with cartoons.  I don't really think they know what they want.

[woe10]

I don't see too many 5 star looking tourists around when i'm over there.   See quite a few though who look like they don't have a pot to pizz in.

The rich ones must all be hiding in the A/I hotels.

My wife and i think Fuerte is the least 5 star destination we can think of, thats why we like it. I think they have delusions of grandeur.. and thats what their 5 star dream will remain. A delusion.

100% correct. Never has been, never will be 

[fifi]

The Island Plan can be viewed until 19th January if anyone is interested in finding out about the proposed changes.  Details in this link. https://translate.google.com/translate?sl=auto&tl=en&js=y&prev=_t&hl=en&ie=UTF-8&u=http%3A%2F%2Fwww.fuerteventuradiario.com%2Fel-piof-de-las-oportunidades-ya-esta-en-exposicion-publica-hasta-el-proximo-19-de-enero%2F&edit-text=&act=url

[woe10]

Basically the Island plan is for it to be eventually a five star Island.

Basically, after 20 years on the Island, I have learned that the people who run this place don't have a clue what they're doing.

They're are just a joke, with Rose Tinted glasses on.  When was the last time you saw anybody from the Tourist Board in Hemingways, Flower Of Scotland, Step Inn, Bar 4, etc .. etc .. They just don't know anything about the Tourists that come here, or the term "Brits Abroad".

[TropicalFish]

Bingo Woe10.

With 56 years of history to draw upon, before the airport or any roads. We must consider the Canarian people's very recent history in order to try and understand anything they do. And in doing so we must also consider the dictator Franco in Spain up until 1975.

They do not have and never will have the mindset which may appear reasonable in the English speaking world.

50 years ago they were opportunists living, barely, on a scrap of volcanic land. They survived how they must. They greeted the English and German tourists arriving at that time warmly and were generally excited at the prospect of learning and bettering themselves and their islands. They were broadly an accommodating and warm people.

However. And there is always a but.

In more recent years Spain is nearly bankrupt. 45% unemployment. Failing house prices. And all the time Britain is booming and the prime parts of their beloved islands are owned by Brits and Germans.

The hoteliers are corrupt. The government is corrupt. And the general population have a strong history of corruption, blackmail and dictatorial rule. No common sense can prevail under such circumstances. Just whoever bribes the most. Or has the biggest muscle. The large hotel chains.

However. Again a but. This is not the most worrisome consideration. In enforcing these clearly idiotic laws, they are certainly not idiots. Therefore we must try and guess at the possible motivations. And they are likely:
- to make a fast buck. 7,000 - 10,000 30.000â,¬ fines makes for a quick fix to their annual budget

- hotel corruption as already noted. And politicians are well aware they are not in power for long. They must make their 500.000â,¬ or 1.000.000â,¬ nest egg from somewhere while they can

- arrogance. The people are blindly arrogant. It isn't sufficient to say they are overly optimistic. They entertain other viewpoints and ideas seldom

- lastly and most worryingly. If anyone takes the time to "infiltrate" the Canarian people themselves. Listening. Un observed. At functions preferably where alcohol is consumed in reasonable amounts. It would amaze you what they honestly and really feel and think about the Brits / Germans / any foreign input into their island. And what they fully expect to be done about it

- the last point is amplified further by the youth. 70% unemployment. Who are filled with wild aspirations from the recent influences of American TV, news and the Internet. They expect everything for little to no work. Not unusual in the youth of the world. Only they have no where to take from other than their isolated habitation on a small island which is not prosperous or capable of meeting their expectations. Problem


In short. Finally..... And apologies for ranting and raving. Fuerteventura will never be a 5* hotel island. The existing 2 supposedly 5* hotels are such poor offerings in comparison to pretty much any other EU or worldwide destination - that they will all fail.

Fuerteventura is just too barren. Too windy. And with too little support to ever be 5*. And long may it continue!

That's not to say that in enforcing these laws for a period of a few years. They might not get back much of the prime real estate they are after. Presently in foreigners hands. Then they'll just change the laws again........ Which was likely their intention all along. Caveat emptor to anyone caught up in the whole mess!

[woe10]

Welcome to the Forum TropicalFish. You obviously know the score on this Island, like a few other Residents, unfortunate enough to have to deal with them in a so-called business way. You try to tell them, but they don't want to listen to common sense and logic.