Most Houses in Spanish Tourist Areas Converted to Lodging
Housing Prices Soar 68%... Backlash Against Overtourism
On the 13th (local time), a protest against rising housing rental prices due to overtourism took place in Madrid, Spain. According to the organizers, more than 150,000 citizens participated in the protest. [Image source=AFP·Yonhap News]
Protests opposing the excessive visitation of foreign tourists, known as 'Overtourism,' are spreading like wildfire in major tourist cities in Spain, including the capital Madrid. As homeowners in key tourist areas cancel existing rental contracts and start lodging businesses, rents have surged sharply, causing rapid inflation and prompting residents to push back. Although Spanish authorities have introduced measures such as restrictions on converting properties into lodging businesses, their effectiveness remains limited, and residents' opposition is expected to intensify going forward.
Anti-Overtourism Protests in Major Spanish Tourist Destinations
According to CNBC, on the 13th (local time), anti-overtourism protests occurred in major Spanish tourist destinations such as Madrid, Barcelona, and the Canary Islands. Approximately 150,000 citizens participated, including members of over 30 civic groups such as the Spanish Tenants' Union, according to organizers' estimates.
Protesters shouted, "Tourists, go home," demanding the government stabilize housing rents. Some protesters even placed restricted access tape on restaurant terraces to prevent tourists from sitting there. These protests have been occurring periodically since July, when the number of tourists in Spain surged.
However, the number of tourists visiting Spain shows little sign of decreasing. After the Ukraine war, tourists who used to visit Eastern Europe during the summer have flocked to Spain in large numbers, worsening overcrowding. According to the Spanish National Statistics Institute (INE), 85.1 million foreign tourists visited Spain last year, an 18.7% increase compared to the previous year. This year, the total number of visitors is expected to exceed 90 million by the end of the year.
Most Tourist Area Housing Converted to Lodging Businesses... Rents Soar 68%
The main reason residents in Spanish tourist cities strongly oppose overtourism is the skyrocketing housing prices. According to Deutsche Welle (DW), in Barcelona, Spain's largest tourist destination visited by over 10 million people this year, average housing rents have surged by more than 68%. As rising housing prices lead to overall inflation and worsen the economic situation for ordinary citizens, opposition is growing stronger.
With the influx of tourists, homeowners in major tourist areas have terminated existing lease contracts and massively entered the lodging business, causing rents to soar. The number of properties listed on Airbnb, Booking.com, and other platforms continues to increase, and not only local but also foreign investors are joining in purchasing real estate, driving housing prices ever higher.
As housing prices rise sharply, Spanish authorities are stepping up regulations. In major tourist cities such as Madrid and Barcelona, new conversions of short-term rental housing for lodging purposes will be prohibited until 2028, and a tourist tax of 7 euros (about 10,000 KRW) per night will be imposed on cruise ship passengers. However, enforcement is difficult, and since tourism accounts for as much as 12.8% of Spain's gross domestic product (GDP), the authorities' regulations are expected to be limited in scope.
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