GIPE Newsletter (Nº 24.151) March, 11th 2025

RENTALS:

I’M GOING TO MAKE A LUXURY LEASE

If you have two adjoining apartments that you want to rent and that together exceed 300 square meters, consider the option of joining them into a single home. In this way, the rental will be classified as luxury, allowing you greater flexibility in the negotiation.

Luxury leases are those that, due to their architectural characteristics, exclusive services or design, offer added value in terms of comfort and features, and go beyond covering a simple housing need. The Urban Leasing Law (LAU) strictly regulates rentals intended for habitual housing to guarantee their social function, but it expressly excludes luxury leases from its scope of application.

In these cases, the contracts are mainly governed by the agreement between both parties and, only in the absence of specific provisions, the LAU or any other current regulations will be applied. A luxury lease is considered to be one that corresponds to homes of more than 300 square meters (without distinction between built or useful surface area) or whose annual rent exceeds 5.5 times the Interprofessional Minimum Wage (SMI), which is equivalent to 7,597.34 euros per month taking the SMI of 2025 as a reference.

Unlike rentals regulated by the LAU, in this case you can freely agree on the duration of the contract without being subject to a minimum term. You will also have the possibility of establishing the rent that you consider appropriate, even if the property is located in a Tense Residential Market Zone (ZMRT), as well as defining the method and frequency of price updating (quarterly or half-yearly) according to the index or percentage that best suits you.

It is advisable to clearly define the following aspects:

• Deposit: You can establish the amount that you consider appropriate. However, some autonomous communities have specific regulations in this regard, so it is advisable to review them beforehand.
• Tenant rights: It is recommended to agree that the tenant waives his / her rights of first refusal and retraction, as well as of transferring or subletting the property. Remember that anything not agreed upon will automatically be regulated by the LAU.

GIPE: Together we will be stronger.