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View of one of the hotels on the Costa del Sol SUR
Costa del Sol hotel owners plan to invest 483 million euros if modernisation decree is extended
Tourism

Costa del Sol hotel owners plan to invest 483 million euros if modernisation decree is extended

They are calling on the Junta de Andalucía to renew the legislation, which expires in November, so these investments in improvements can be carried out

Pilar Martínez

Malaga

Wednesday, 22 May 2024, 15:28

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The Hotel Modernisation Law of Andalucía, which provides for the extension of buildable areas by up to 20% in certain cases, expires in just six months and hotel owners along the Costa del Sol are calling on the Junta to extend it.

It comes after the data of a study which shows the sector expects to invest 483 million euros if it has more time to take advantage of the decree, which requires hotels to modernise their facilities.

The Association of Hotel Businessmen of the Costa del Sol (Aehcos) made this call in view of the results of the report carried out among 340 associated businesses in Malaga province. The organisation has claimed 70 hotels will benefit from an extension of the regulation. In addition, it pointed out these actions to improve facilities would generate 2,300 new jobs, with an increase of 10% over the current employment in the hotel sector in the next two or three years.

"We believe that this will increase the competitiveness of the Andalucía brand and, consequently, the province of Malaga. The accommodations will have the opportunity to renovate and expand their facilities according to the new experiences demanded by customers. This commitment to quality will maintain the competitiveness of the destination thanks to the recovery and improvement of hotel assets. Maintaining the 2023 and 2024 levels of gross impact per guest staying will only be possible if we have better facilities and services for our customers," said José Luque, president of Aehcos.

In addition, he reminded that "we are talking about a law that has been approved, published and implemented in 2021 in an unfavourable economic situation for hotel establishments" and that the three years of validity with which it was born "is a short and insufficient time window". To which the association added the difficulties encountered by the sector in the face of administrative obstacles and the significant lack of knowledge of the local administration on the application of this regulation. "This fact ratifies the importance of extending this law over time," the association added.

Renewal

The employers' association has released data on the commitment of hotel owners to maintain an updated offer and has pointed out 60.9% of the establishments in the province would intend to undertake modernisation work on their hotels in the coming years and that over the past ten years 66.7% of establishments have carried out renovations to their facilities. "This concern responds to a clear commitment of the sector to the renovation and adaptability of hotels after the Covid-19 pandemic, taking advantage of this to modify the facilities to be much more sustainable, even improving energy efficiency," they pointed out.

Luque said: "this report reflects a clear intention to renew the assets that have not yet been updated, and therefore the mere fact that there is an incentive will be fundamental to undertake a renovation that will lead to a significant improvement in the entire Andalusian hotel sector". He also pointed out the success stories of similar regulations, highlighting that of the Balearic Islands, which involved 1,800 million euros of investment in the five years it was in force, 7,500 jobs created in the accommodation sector, and more than 200 hotels refurbished.

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