Fines of up to €10,000 for informal “dormitories” in flats

Proposal by the Ministry of Citizen Protection to tackle the systematic provision of beds in residential flats and illegal subletting.

Fines of up to €10,000 for informal “dormitories” in flats

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The Ministry of Citizen Protection is drawing up a legislative framework to ban the systematic provision of beds or sleeping places in flats used as residences and to tackle illegal subletting.

According to sources at the ministry, the proposal предусматривает administrative fines of up to €10,000 for those operating such premises, as well as the option of temporarily or permanently sealing them under certain conditions.

The same sources said the proposed measure aims to address a practice seen widely in major urban centres, particularly in Attica: the conversion of flats into informal “dormitories”, without compliance with any of the applicable health, planning or tourism standards.

The ministry’s proposal states that this practice is linked to risks to public health and safety, a deterioration in the quality of life of other residents in apartment buildings, as well as tax evasion and unfair competition.

Specifically, the proposed provision would ban the systematic rental, subletting or granting, by any means, of individual beds or sleeping places in properties designated for residential use. A sleeping place or bed is defined as any arrangement set up for sleeping, such as a bed, bunk bed, mattress or other structure intended for accommodation or rest.

To establish a violation, at least three of a set of criteria must be met cumulatively. These include the provision of individual bed spaces, frequent or periodic changes in occupants, the payment of direct or indirect consideration, and the arrangement or use of the property in a way that suggests communal accommodation or a mass-lodging facility.

Exempt from the measure are properties with a valid operating licence or notification as tourist accommodation; short-term rentals conducted in accordance with current legislation; and recognised facilities, hostels, boarding houses and other establishments providing services to homeless people, people with addictions, or those staying in psychosocial rehabilitation units.

The Independent Authority for Public Revenue, the Financial Police, the Municipal Police, planning authorities and the relevant services of the Ministry of Tourism are expected to be responsible for carrying out inspections and establishing violations.

Those in breach would face an administrative fine of €10,000 if they are the tenant, subtenant, person granted use of the property, holder or occupier who operates, allows or facilitates the prohibited use. A fine of €5,000 would apply to the landlord if it is proven that they knew of the prohibited use and tolerated, facilitated or allowed it.

If the activity continues after the order to cease has been served, an additional fine of €1,000 would apply for each day until full compliance. In the event of a repeat offence, the fine would be doubled and the property sealed. A second repeat offence would result in the maximum fine being tripled.

The proposal also provides for the temporary or permanent sealing of premises, in addition to administrative penalties and the immediate cessation of the activity, where an immediate risk to the public interest is identified and urgent action is needed to avert it.

Finally, a joint ministerial decision is expected to set out more detailed technical and operational standards, inspection and sealing procedures, and arrangements for imposing and collecting fines and submitting objections.

SOURCE: AMNA

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