Palma Bans New Tourist Rentals and Party Boats in 2026

Palma City Council has approved major reforms to curb overtourism. From 2026, the city will ban all new tourist-rental licences, prohibit party boats from docking along the seafront, and tighten rules on hostels and nightlife in saturated zones.

What’s changing

• Tourist-rental freeze: No new short-stay licences will be issued after 2025. The cap remains at around 639 registered homes. Flats in apartment buildings stay off-limits for holiday use.
  
  
• Party-boat ban: Boats offering alcohol or loud music cannot dock in Palma Bay from 2026. Operators face noise limits, new inspections, and fines for breaches.
  
  
• Nightlife restrictions: Santa Catalina, La Lonja, and Playa de Palma will be marked as “tourism-saturation zones,” blocking new hostels and bars in those areas.
  
  
• Higher penalties: Advertising or renting unlicensed homes can bring fines of up to €40,000. Platforms must display each property’s official ETV number.

Why it matters

Palma recorded over 18 million visitors in 2024, driving rent increases and resident protests. Officials say the 2026 plan aims to protect housing supply, reduce noise, and promote sustainable tourism.

Impact on expats and investors

• Property owners: Buying a home for short-term letting in Palma will no longer be possible without an existing licence. Expect stricter audits and higher compliance costs.
  
  
• Tenants: A smaller holiday-rental market could slowly ease pressure on long-term rents, though prices may remain high in central zones.
  
  
• Tourism workers: Event-boat and nightlife staff may face seasonal adjustments but benefit from steadier, regulated employment.

Next steps for residents

• Check the Balearic tourism registry before buying or renting a property advertised as “tourist use.”
  
  
• Display valid licence numbers on all rental listings to avoid fines.
  
  
• Follow Palma’s 2026 urban-planning updates for final implementation dates.

Regional outlook

The Balearic government plans similar controls in Ibiza and Menorca. Officials want a single enforcement system across the islands to limit illegal tourist lets.

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