How Can We Balance Tourism Growth with Housing Affordability for Local Communities?

Innovation
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A1: We are, of course, all are dependent on the natural resources in these locations too. Host or visitor, as Global Citizens, we need to instil a sense of respect to one another as equally responsible stewards of the planet. The Travel Matter’s Make Travel Matter campaign endeavours to educate how we can be better hosts to visitors and better visitors to host communities when we travel the world. Please view the link: Make Travel Matter Campaign — Travel Matters

Examples of communities challenged are Barcelona, Dubrovnik, Athens, Cornwall, Venice –over-tourism honeypot sites, to name a few. In these cases, tourism has led to overcrowding, increased noise levels, littering, a strain on local resources (e.g. water, energy etc.), waste management systems, public infrastructure, public transport, healthcare services and the general disruption of daily life for residents.

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Translation: The impact of the growth in tourism activity in municipalities has become a global phenomenon, present in all types of municipalities, destinations, and communities, from large cities to established tourist destinations (coastal, mountain, etc.), and even in small rural municipalities and inland areas, especially those located in high-quality environments near urban areas that have maintained their rural character.

In recent years, the problem has worsened, I believe, due to several reasons:

  • In established tourist areas, it was traditional for many establishments (especially accommodation, restaurants, etc.) to offer housing to their workers, often in precarious conditions and therefore increasingly unattractive in a developed country where the population demands a minimum standard of quality.

  • There used to be a clear separation between tourist areas (where accommodation and services were concentrated) and areas where residents traditionally lived. This barrier has been broken with the emergence of apartment and room rentals through online platforms.

  • In rural destinations (small villages), these problems are also experienced due to housing being dedicated to second homes and/or “rural tourism,” with the aggravating factor that there is a reserve of uninhabited houses in the process of degradation, preventing the attraction of permanent population.

This issue was highlighted by the “Associació de Micropobles de Catalunya” in a diagnostic process for the future of these towns conducted in 2022-2023.

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It should be noted that, although all economic activities have negative impacts, public-private planning can minimize these impacts. In the early days of mass tourism, in the 1950s and 1960s, proper planning was difficult because it was a new situation. But from the 1980s onwards, the absence is unjustifiable, as there are precedents and a knowledge base to undertake this planning. Planning is not infallible and does not entirely eliminate the inconveniences of tourism development, but it allows, based on long-term objectives, to take actions such as: expanding infrastructures and services before they collapse; guiding the growth of supply and demand to avoid the risk to “dye of success”; consulting with residents on the sector’s direction; training workers and residents; raising public awareness about the importance of the sector and its positive and negative impacts, etc.

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Balancing tourism growth with housing affordability for local communities is a complex challenge. Here are some strategies and examples to consider:

  1. Affordable Housing Measures:
    o Example: In Ibiza, where the housing crisis has led to informal settlements, supporting local owners in restoring houses, enabling adaptive reuse for small businesses, and assisting renters can protect historic buildings from tourism-induced redevelopment1.
  2. Public-Private Partnerships (PPPs):
    o Example: Collaborating between government agencies and private businesses to create housing solutions that benefit both residents and tourists1.
  3. Diversifying Revenue Streams:
    o Example: Investing in local businesses and promoting community-based tourism to ensure equitable economic benefits.
    Remember, a holistic approach involving stakeholders from various sectors is essential for sustainable tourism and thriving local communities.
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In the case of Ibiza, there has never been sufficiently high-quality planning, and the measures implemented have been based on poor or short-term analyses. The actions of administrations and businessmen have been mainly reactive: limiting hotel supply in the late 1980s due to an enormous excess of capacity; occasional modernizations in the 1990s and more extensive ones at the beginning of the new century due to the high obsolescence of hotels. The island’s success is largely based on the powerful image of Ibiza, which in turn is due to almost random elements, such as the international media impact of the hippie movement in the late 1960s and 1970s. As for the management knowledge possessed by those responsible, it is mostly outdated and based on achieving high short-term profitability.

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In some cities, like Strasbourg Euro-Metropole, policy is in the making for prohibiting non-locals can buy up housing (estates). Not clear yet if it is possible, legally wise.

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South Africa housing cost
Lightstone’s data shows that the average nominal sale price has risen from just under R150,000 in 1994 to R1.4 million in the first quarter of 2024.

This represents an 833% increase over the 30-year period, which is 381 percentage points more than inflation over the same period (451.9%).

Put another way, a salary of R150,000 in 1994 would only be worth R840,000 today – R540,000 less than the R1.4 million house price growth.

*This trend could be worse for some areas more than others.”

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The lack of planning and a short-term focus on quick gains result in the accumulation of problems in the long term (the optimal short-term decision may not be so in the long term). The result is that Ibiza Island has doubled its population in the last 25 years, and Formentera has doubled in 15 years. In the last 60 years, both islands have multiplied their resident population by five, and thus they have been in a situation close to collapse since the Tourism Boom. On the other hand, the differentiation of the tourist destination provided by Ibiza’s strong tourist image has led to price increases that have been passed on to all sectors of the island and, along with insularity costs, have led to a region considered very cheap in the 1960s being today one of the most expensive in the Western Mediterranean, along with Capri and Saint-Tropez.

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A1.4. Social and economic impact:

  • The gentrification and displacement caused by the housing crisis have led to the formation of informal settlements and worsened living conditions for many residents.
  • Additionally, the tourism industry itself is facing increasing challenges in attracting and retaining workers due to unaffordable housing.
  • Inequalities are rising, and there is a perception that many foreign investor funds are taking over family-owned businesses. I would love to hear how other regions are tackling this issue to ensure that the island continues addressing the interests of locals and long-term residents. Are there any studies on land ownership in the Balearics?
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A1.5. Environmental impacts:
While not the focus here, it is important to note that tourism growth also has significant environmental impacts, which further affect the quality of life for locals—the landfill reaching maximum capacity, much of the wastewater goes untreated into the sea, depleting water resources, high rates of damage to marine ecosystems (eg. Posidonia).

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Recently we have all seen what has happened in Barcelona…
and what is also important to note is that there are a number of social movement which are acting on the problem. An example is:

Hereby the integral text (google-translated) from the convening entities of that demonstration. https://assembleabarris.wordpress.com/ Full text of the Assemblea de Barris pel Decreixement Turístic (ABDT) manifesto read at the end of the PROU unitary demonstration -

**We put limits on Tourism, in Barcelona on Saturday 6 July.

Full text of the manifesto read at the end of the PROU unitary demonstration - We put limits on Tourism, in Barcelona on Saturday 6 July.

Barcelona receives around 31 million visitors annually, almost 20 times the number of people who live there, who are 1.6 million and, taking into account the average stay, they represent 10% of the population every day. Half are tourists who spend an average of 2.9 nights, and the other half are visitors for just one day. This amounts to more than 160,000 daily visits and makes Barcelona one of the most visited cities on a global scale.

Citizens suffer directly from the consequences with the increase in housing prices and the cost of living, the specialization of tourism and the gentrification of neighbourhoods, the precariousness of employment in the sector, the pollution and emissions generated by travel in motor vehicles and airplanes and cruise ships, the pressure on public services (transport, health, cleaning, security…), the commodification of heritage and the loss of local identity and dispossession of the city, the massification of space and public transport . Dependence on a tourism sector that does not redistribute the huge profits increases social inequalities and makes the city vulnerable to any kind of crisis that may arise. And the indignation grows in the face of events such as the America’s Sailing Cup, the Louis Vuitton parade in Park Güell or Formula 1 in the city center.
The rulers continue to repeat the mantra of the millions of euros of economic impact and of “tourism is good for everyone”, but they are unable to propose real measures to reduce tourism, despite the fact that 61.5% of the neighbours thinks that Barcelona has reached the limit of tourist capacity.

Organized citizens present today 13 proposals that we demand to be implemented urgently to reduce mass tourism once and for all and immediately:

  1. Reduction of airport activity and infrastructure
    Unconditional withdrawal of all plans to expand activity and airport infrastructure, immediate definition of plans to reduce domestic and international flight lines, and ban private jets.

  2. Closure of cruise terminals
    Reduction of the number of cruise terminals in the Port of Barcelona, starting with the early cancellation (before 2027) of the concessions of terminals A, B and C, and the creation of a citizens’ table with social and environmental institutions and entities to plan the early termination of concessions for the rest of the terminals.

  3. No more tourist accommodation in the city
    Prohibition of the granting of any license for tourist accommodation throughout the city, including hotels, student residences and co-living, and drawing up a restrictive metropolitan tourist accommodation plan.

  4. Elimination of tourist flats and regulation of seasonal and room rentals
    Immediate recovery of flats diverted to the tourist and short-term market for long-term residential rental use, through the revocation of all tourist flat licences. Comparison of seasonal contracts and room rental to the conditions of the LAU (minimum contract duration and regulated price).

  5. Eradication of illegal tourist flats
    Reinforcement of inspection and penalty teams to pursue and close illegal tourist flats. Implementation of a more agile action protocol for these teams, which allows overcoming the current low efficiency.

  6. Limit on macro events
    Introduction of two conditions for the celebration of any macro event:

  • preparation of impact reports, both social (work, housing, public space, mobility, health…) and environmental
    – binding public consultation

  1. End of the privileges of the tourism sector in water management
    Comparison of the tourism industry, including all types of tourist accommodation, to other industrial activities, so that it assumes restrictions in the drought protocols.
    Control and audit of water consumption in the tourism sector and imposition of maximum consumption where necessary.
    Treatment of tourism as a non-essential economic activity in terms of water management planning.

  2. Decommodification of public space
    Stopping and reversing the processes of museisation and commodification of public spaces, such as Montjuïc, the Anti-Aircraft Batteries or Port ciutat. In the case of Park Güell, as an urgent transitional measure, reduce the number of tickets on sale to 50% until tourist pressure drops and the desired opening can be made.

  3. Decent and fair working conditions in the tertiary tourism sector
    Upward review and minimum regulatory framework of collective agreements in hospitality, catering and commerce. Prohibition of outsourcing and subcontracting, special and forceful program of labor inspection to fight against abuse and labor irregularities.
    General training and specialization plan for the sector for the professionalization of workers.
    Elimination of opening on Sundays and holidays.

  4. Recovery of trade for the people
    Protection of local commerce with activities of daily use and necessary for the lives of residents, regulation of the price of commercial rents.
    Regulation or prohibition, as the case may be, of the licenses of establishments and services intended for tourism, and the terraces of bars and restaurants.
    Prohibition of tasting stalls in municipal markets.

  5. Abandonment of the public promotion of tourism
    End of the tourism promotion of the city with public money, and of subsidies and tax exemptions in the sector.
    Dismantling of the Turisme de Barcelona consortium and conversion into a public agency for the reduction and reconversion of the sector, the promotion of economic alternatives and the development of training and reinsertion plans for ex-employees.

  6. Invoicing the tourism sector for the public expenditure it generates
    Elaboration of an in-depth study on the public services exploited daily by the tourism industry, in order to impute the corresponding expenditure in terms of transport, cleaning and maintenance, waste management, security, health, etc.

  7. Elaboration of local public leisure policies
    Process of transformation of the tourism sector and elaboration of a public policy aimed at satisfying the rest, leisure and recreation needs of the majority of the local population, in a framework of geographical proximity and in relation to associationism and the social economy and solidarity

Today, as in other cities before and soon, we are many people who have taken to the streets to demand that limits be imposed on tourism in order to make it decrease forcefully and once and for all. We also denounce the abuses and the serious negative impacts that this activity causes in the city and on citizens and the environment. But this does not end here, we will continue to fight to enforce these demands, without ceasing to denounce at the same time the smokescreens and decaffeinated measures that the administrations systematically create. Because we already have ENOUGH!, and we made that clear today. In the meantime, remember that the Copa América de Vela is already underway, that the final phase of the competition begins on August 22 and that we have to be a lot of active people if we want to prevent this macro event from being held in Barcelona again.
Finally, let’s also remember that during the celebration of the America’s Cup, the international real estate speculation fair, The District, will take place. The comrades in the fight for housing are already organizing to inconvenience and prevent this congress from taking place; mark the dates: from September 25 to 27.
And remember that this is not the end of the fight, but only the beginning of the continuation, of a new momentum that this time cannot stop until it succeeds in putting restrictive limits on tourism.

Let’s get rid of all the lobbyists
No to America’s Cup
Let’s put limits on tourism
Tourism degrowth NOW!

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A1.2: This is due to the fact that the core measure of success in tourism are the number of arrivals or nights spent. This pushes all stakeholders to attract as many visitors as possible but does not place any focus on the impact of this visitors on the community.The result is “overtourism” in highly successful destinations. However, more visitors do not mean more money for people and place, as most of tourism revenue leaks out while the costs of hosting all these visitors increases. This leaves residents to cover for the increased costs without having increased incomes. That’s how they get impoverished and displaced. The shifting population of the destination with always less residents and always more tourists also causes market to shift and business to be displaced and reimplaced by new ones catering to tourists. Due to the predominance of day-trippers, this has a negative impact on the natural and cultural heritage as the business who serves them often employ business practices which are not socio-culturally-ecologicallly sustainable .

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METREX is running expert workshops on Landpolicy, as we think that can have clues to better controlling the market. New types of Lease, Community Land Trusts etc are being discussed amongst some key European METREX members. reports from that will be publish at the next Social Housing Festival in Dublin, June 2025

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The growth of tourism can bring with it a number of significant social challenges for local communities, especially in areas where tourism development is not adequately managed. Some of the main challenges I have observed include:
• Housing and Accommodation: The increase in demand for housing and accommodation an increase in rental prices and real estate speculation.
• Impacts on Infrastructure: This can lead to a deterioration in the quality of life for local residents if adequate investments in infrastructure are not made to meet tourism demand.
• Change in the Local Economy: Over-reliance on tourism can lead to a local economy vulnerable to seasonal fluctuations and changes in tourist preferences.
• Cultural Change: Mass tourism often brings with it changes in local culture, either through the commercialization of local traditions or the adaptation of practices to meet the expectations of visitors.
• Pressure on Natural Resources and Environment: Inadequate management can lead to environmental degradation and loss of biodiversity, affecting both local residents and the long-term tourism experience.

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Translation: Some related causes of this problem are:

  • Lack of a global “local development” strategy. Often, thematic Strategic Plans related to tourism, commerce, agriculture, etc., are designed without a global vision of the concept of “local development,” which in my opinion is based on:

“a process that, based on the identification of endogenous resources of a territory and a collaboration of public and private actors, seeks to design actions that help improve employment, income generation, etc., with the ultimate goal of improving the quality of life and social welfare of the inhabitants.”

  • Lack of intervention by public bodies to organize and regulate markets. Only recently, when the problem has become severe, has there been an attempt to regulate the legalization of tourist accommodations and limit their maximum number based on the resident population in some destinations. The one I know best is Catalonia.
  • Despite these recent regulations, so far, I do not see them accompanied by human and technical resources for proper implementation. The number of inspectors who can supervise this is very low.
  • There is a lack of public instruments designed to address and respond to these issues. So far, I am not aware of initiatives in this regard here in Spain.
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Building on my previous points, the quest for quick profitability means that employers pay workers as little as possible, regardless of their training and professional career, leading to high levels of labor turnover, professional dissatisfaction, and poor-quality service offered to tourists. For example, when an executive of a five-star hotel on the island was asked how much they paid their workers, he replied “collective agreement,” meaning the minimum set by labor legislation. Workers and managers of five-star hotels on the island acknowledge that neither the workers nor the service offered in these hotels are up to the required international standards. The academic and institutional spheres should help address these issues, but they do not have the level they should, and they are rarely taken into consideration.

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Buenas tardes
Los desafíos a los que nos enfrentamos son principalmente:

 Solucionar la progresiva saturación estacional.
 Mitigar la gentrificación (proceso de renovación de una zona urbana, generalmente popular o deteriorada, que implica el desplazamiento de su población original por parte de otra de un mayor poder adquisitivo).
 Promover el equilibrio entre la población residente y la flotante (entre ellos, los turistas).
 Determinar de forma fiable nuestra capacidad de acogida.
 Mejorar las infraestructuras para proteger la calidad de vida de residentes y turistas.
 Acabar con la falta de vivienda residencial digna.
 Impulsar la conciencia medioambiental como un elemento necesario en nuestra sociedad.
 Liderar la lucha contra el intrusismo turístico

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In conclusion, every economic activity has impacts on region and society, but if correct long-term planning is carried out, it is possible to maximize positive impacts and minimize negative ones. This planning is not infallible, but doing nothing is worse. In the 1950s, 1960s, and even 1970s it was difficult to carry out this planning, but since the 1980s there has been no excuse for inaction. In the case of Ibiza, planning, sector training, and social awareness have failed, generating the problems that now appear in the press but have been occurring for decades. It should be noted that various island states whose tourism development was later (e.g., Seychelles, Maldives, Vanuatu) have had the opportunity to learn from the mistakes of other regions and have implemented prior planning to tourism development that has yielded better, though not perfect, results.

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Our second question to explore today:

  1. What strategies or solutions have you seen being implemented to mitigate the negative impacts of tourism, including on housing? Can you provide examples of successful initiatives or policies that have helped balance tourism growth with the needs of residents?
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INTRUSISMO EN EL SECTOR DE ALOJAMIENTOS TURÍSTICOS. CONSIDERACIONES VARIAS Y PROPUESTAS DE SOLUCIÓN:
• ANALIZAR PREVIAMENTE SUS CAUSAS: alquiler de viviendas vacacionales en zona residencial (algunas con licencia turística otras sin licencia turística), la desprotección que sufre el propietario frente al inquilino defraudador, el boom de las plataformas colaborativas que comercializan viviendas residenciales sin permiso para su uso turístico…
• DISTINGUIR ENTRE INTRUSISMO LEGAL E INTRUSISMO ILEGAL
 Intrusismo legal, se permite ejercer la actividad hotelera en viviendas residenciales que se les permite ser turísticas, pero no se les somete a las mismas normativas y requisitos que a los hoteleros.
 Intrusismo ilegal, la explotación ilegal (sin licencia turística) de viviendas residenciales.
• Que la UNIÓN EUROPEA EXIJA A LAS PLATAFORMAS COLABORATIVAS QUE EL ESTABLECIMIENTO QUE SE PUBLICITE EN ELLAS, DEBA INDICAR EN UNA PESTAÑA VISIBLE SI TIENE O NO LICENCIA TURÍSTICA.
• CREAR DE UNA MESA DE TRABAJO CONTRA EL INTRUSISMO EN TURISMO, donde estén representada la sociedad civil, la administración pública y el sector turístico.
• DEFINIR PARÁMETROS E INDICADORES que permitieran medir periódicamente el avance del trabajo de la mesa en la lucha contra el intrusismo.
 denuncias tramitadas.
 inspecciones anuales.
 sancionados.
 sanciones abonadas…

• INTENSIFICAR LA INSPECCIÓN, CON MAYORES RECURSOS ECONÓMICOS Y PERSONALES dedicados a combatir el intrusismo.
• DESINCENTIVAR EL ALQUILER ILEGAL Y EL INTRUSISMO con un RÉGIMEN SANCIONADOR agresivo.
• PROPONER UN PROYECTO DE LEY CONTRA EL INTRUSISMO, donde se eliminen escollos como la inviolabilidad del domicilio y se tenga un régimen sancionador elevado.
• AMPLIAR EL OBJETO DE INSPECCIÓN: que las viviendas residenciales que estén ejerciendo ilegalmente la actividad turística (acciones comerciales) sean consideradas empresas, y por tanto se pueda realizar un registro sin que el registrado pueda alegar “inviolabilidad del domicilio” para no permitir el acceso a las fuerzas inspectoras y policiales, al no considerarse domicilio.
• AMPLIAR LA RESPONSABILIDAD DE LAS INFRACCIONES a todos los implicados, concurrencia de culpas, responsabilidad solidaria. que las infracciones recaigan tanto sobre el viajero que contrata, como la persona o empresa que ofrece la vivienda en alquiler sin licencia y también a la plataforma que publicita. Responsabilidad solidaria freten a las multas por la concurrencia de culpas entre los intervinientes en la infracción: quién alquila, quién arrienda y la plataforma.
• CONTROLAR LA LLEGADA DE VIAJEROS A LAS BALEARES: obligación de cumplimentar formulario online (tipo Google Form) a todos los viajeros (en el momento que compran el billete de avión o el de barco) donde se indique fecha en que van a viajar, duración de la estancia y lugar donde se alojará…
• CAMPAÑA PEDAGÓGICA, INFORMATIVA (CONCIENCIACIÓN E INFORMACIÓN RÉGIMEN SANCIONADOR) Y DE COMUNICACIÓN POTENTE, advirtiendo de las consecuencias de contribuir al intrusismo, y todo el daño que provoca en la sociedad.
• QUE TODO EL QUE QUIERA DEDICARSE AL SECTOR DE ALOJAMIENTOS TURÍSTICOS DEBA SEGUIR LAS MISMAS NORMAS Y REQUISITOS. HOMOGENIZAR NORMATIVAS Y REQUISITOS TURÍSTICOS, SANITARIOS, ADMINISTRATIVOS, FISCALES, LABORALES, JURÍDICOS, NORMATIVOS, MEDIAMBIENTALES….
• PROMOVER UNA CONVENCIÓN NACIONAL ANTI-INTRUSISMO PARA COMPARTIR ENTRE TODOS SOLUCIONES Y BUENAS PRÁCTICAS.
• CREACIÓN DE UN BUZÓN DE DENUNCIAS EXPRESS (X WHATSAPP…) anónimo, y con un protocolo ágil de inicio del proceso de apertura de expediente sancionador…

FALTA DE VIVIENDA PARA NUESTROS RECURSOS HUMANOS Y NUEVOS RESIDENTES
En cuanto a la falta de vivienda se proponen estas posibles soluciones:
• Tener un inventario de edificios y áreas públicas infrautilizadas, que puedan reconvertirse en viviendas.
• Optimizar los espacios urbanizables, permitiendo la creación de más viviendas de menos metros cuadrados;
• Priorizar la creación de viviendas plurifamiliares frente a las unifamiliares;
• Construir más VPO (Viviendas de Protección Oficial) en régimen de alquiler para evitar la especulación de las que se adquirieron en régimen de compra-venta;
• Permitir la construcción en hoteles de habitaciones destinadas exclusivamente al alojamiento de su personal.
• Dar seguridad jurídica a los propietarios de viviendas residenciales, para que no se vean desprotegidos frente a fraudes e impagos. Hay muchísimos pisos vacíos que nos se alquilan por temor al impago y a la enorme espera para recuperarlos por parte de los órganos judiciales.

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