New tourism spatial planning framework targets Airbnb-style rentals in “red zones” as government seeks to ease housing pressure
Greece is moving toward a freeze on new short-term rental permits in some of the country’s most tourism-saturated destinations, including Mykonos, under the new Special Spatial Planning Framework for Tourism.
The long-delayed framework is expected to reshape the country’s tourism development model, with a particular focus on controlling the spread of Airbnb-style accommodation in areas facing intense housing pressure and overtourism.
At the center of the proposed changes are the Cyclades, where authorities are considering not only restrictions on new short-term rental activity in oversaturated zones, but also a 20% to 30% reduction in permitted tourist bed capacity compared with the original draft presented for consultation in summer 2024.
The government’s stated aim is to strike a better balance between tourism growth and the needs of local communities, many of which have seen housing become increasingly unaffordable due to the rapid expansion of short-term rentals.
After years of delays, the framework is now entering its final approval stage, although two major issues remain unresolved.
According to officials, the relevant ministerial decision is expected to be published after Easter.
Despite the fact that the public consultation on the draft strategic environmental assessment concluded around 18 months ago, and the required Appropriate Assessment on impacts in Natura-protected areas was completed at the end of 2025, legal questions are still being examined.
For that reason, in February, Deputy Environment and Energy Minister Nikos Tagaras extended the deadline for completion of the framework and its accompanying Strategic Environmental Impact Study to June 30.
However, officials from the ministries involved insist that the final ministerial decision will be issued shortly after Easter.
A broad ministerial meeting was held last Wednesday under Environment and Energy Minister Stavros Papastavrou, Tourism Minister Olga Kefalogianni, and Deputy Minister Nikos Tagaras, with senior ministry officials and members of the State Legal Council also participating.
One of the central issues discussed was the future of short-term rentals in already saturated tourism areas, where Airbnb-style accommodation is increasingly seen as a decisive factor in both the tourism economy and the housing market.
According to reports, the meeting examined whether rules governing short-term rentals should be incorporated directly into the joint ministerial decision approving the framework, or whether they should be defined later through more specific regulations.
Either way, officials say the direction of policy on short-term rentals will also be reflected in the local and special urban plans currently being prepared across the country.
Areas expected to face the strictest restrictions
Based on the zoning in the original plan, which sources say remains unchanged, the so-called “red zones” include:
- Santorini (Thira and Oia)
- East Kos
- Mykonos
- Rhodes (Afandou, Ialyssos, Kallithea)
- South Tinos
- Ermoupoli, Syros
- Pieria beach zone
- parts of Skiathos
- parts of Corfu near the city
- Zakynthos (municipalities of Zakynthos, Arkadia and Laganas)
- Malia and Hersonissos in Heraklion
- Nea Kydonia in Chania
For these areas, the key question is whether new homes will continue to be allowed to enter the short-term rental market.
The main proposal emerging from the discussions is an explicit ban on new permits for converting homes into short-term tourist accommodation in these oversaturated areas, in an effort to reduce pressure on local housing supply and curb the unchecked tourism-driven use of residential property.
Cyclades bed capacity also under review
Another major issue still under discussion is the total number of permitted tourist beds in the Cyclades, from major destinations such as Mykonos and Santorini to smaller islands that are also coming under increasing pressure.
According to a tourism ministry source, the intention is to lower the permitted bed capacity by up to 30% compared with the original version of the framework.
That measure, however, has not yet been finalized and remains one of the main points that must be settled before the framework is officially approved.
Beyond the proposed restrictions on short-term rentals, the remaining zoning structure is expected to stay in place, with areas continuing to be classified as developed, developing, undeveloped, or zones with development potential.
The final shape of the framework is now being closely watched by tourism operators, property owners and local communities alike, as it is expected to define the future of tourism development in Greece for years to come.
Source: To Vima tis Kyriakis
greekcitytimes.com.
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