The Cities in France Implementing Quotas to Combat Furnished Tourist Rentals

What Do Annecy, Saint-Malo, and Les Sables-d’Olonne Have in Common? 🤔

 

These cities are innovating to control the significant number of furnished tourist rentals in their municipalities. Beyond requiring owners to declare furnished tourist properties at the town hall, they are going further by implementing quotas. What do these quotas involve? Why are these measures being introduced? Which cities are affected?

 

You’ll discover 👇

Des quotas pour lutter contre les locations meublees de tourisme

First Reminder: What Is a Furnished Tourist Rental?

Article L. 324-1-1 of the Tourism Code defines furnished tourist rentals as:
“Villas, apartments, or furnished studios, exclusively for the tenant’s use, offered for rent to transient clients who do not establish residence and who stay for a short period, renting by the day, week, or month.”

Rooms in a private residence, which are not exclusively available to the tenant, are not considered furnished tourist rentals. Similarly, properties under a residential or mobility lease, where tenants establish residence, are not included.

Second Reminder About Renting Your Primary Residence

You may rent out your primary residence for up to 120 days per year.

 

In certain municipalities, property owners must declare their primary residence to the town hall. Once declared, the town hall provides a declaration number.

 

This number must be included in all advertisements for the rental property.

 

Additionally, you must declare to the town hall the number of days the property was rented. This process differs if the property is rented through a rental platform.

Why Are Certain Municipalities Implementing Measures Against Furnished Tourist Rentals?

Furnished tourist rentals attract many investors due to their high profitability. However, they contribute to reducing the availability of traditional rental housing, leading to higher rent prices and property values in these areas.

 

In many tourist cities, furnished tourist rentals make it difficult for residents to find year-round housing, either for rent or purchase.

 

As a result, some cities are responding by regulating the number of furnished tourist properties through quotas.

 

Which Cities Have Introduced Quotas for Furnished Tourist Rentals?

Saint-Malo :

The first city to introduce quotas.

 

Since July 1, 2021, Saint-Malo has implemented sector-based quotas defining the percentage of dwellings eligible for short-term rentals. The city is divided into four zones:

 

  • Sector A – Intra-Muros: 12.5%
  • Sector B – Littoral Sector: 7.5%
  • Sector C – Urban Retro-Littoral Sector: 3%
  • Sector D – Other Urban and Rural Sectors: 1%
 

To convert a residential property into a short-term furnished rental (exceeding 120 rental days per year), owners must:

 

  1. Obtain authorization for a change of use.
  2. Declare the rental and receive a registration number.
  3.  

The temporary change of use authorization for furnished tourist rentals is granted personally, limited to one property per owner, and is valid for three years.

 

Les Sables-d’Olonne :

The second city to introduce quotas.

 

Les Sables-d’Olonne has also implemented quotas to combat the significant number of short-term rentals. The city is divided into seven zones:

 

  1. Zone 1: Les Sables-d’Olonne Remblai
  2. Zone 2: Les Sables-d’Olonne Centre
  3. Zone 3: Les Sables-d’Olonne Ville
  4. Zone 4: Vairé
  5. Zone 5: L’Ile d’Olonne
  6. Zone 6: Saint Mathurin
  7. Zone 7: Sainte Foy
  8.  

Temporary change of use authorization is granted for three years from notification or tacit approval.

 

 

Annecy :

Quotas approved for implementation.

 

Starting June 1, 2023, Annecy has introduced quotas by zones. The city will be divided into three zones, but the specific areas and percentages have yet to be disclosed.

 

The goal is to limit the number of furnished tourist rentals to 2,200, down from over 2,800 currently, representing 3% of the housing stock.

 

Annecy is tightening regulations for converting residential properties into short-term furnished rentals by limiting authorization to one property per owner and requiring renewal every five years.

Paris :

Paris has begun regulating furnished tourist rentals by introducing new rules in certain districts (1st to 11th and 18th arrondissements).

 

  • Owners must provide compensation of 3 square meters of residential housing for every 1 square meter converted into a tourist rental within the same administrative district.
  • The city is considering neighborhood-specific quotas by 2024.

What Are the Penalties for Non-Compliance?

Conseil Qlower
  • Failure to declare a change of use can result in fines of up to €50,000 per property.
  • False declarations can lead to fines of up to €80,000, and renting without a registration number can incur fines of up to €5,000.
Join the Qlower Community

Join the Qlower Community

Qlower offers useful content (articles, tips, and more) to help you build and grow your real estate portfolio. Join the Qlower community and share your questions and feedback.

 

Guide LMNP

Téléchargez gratuitement le guide ultime de la location meublée (LMNP et LMP)

Obtenez dès maintenant tous les conseils d’experts pour vous faciliter la vie et boostez votre activité de loueur en meublé