A court in Madrid has ordered the closure of 10 tourist rental flats within a single residential building, in a significant ruling that prioritises residents’ rights over the commercial interests of property owners in Spain’s overheated tourist accommodation market.
The decision follows a legal battle brought by a local family — including two young children — who lived directly beneath the short-term rental units. For over two years, they endured what the court described as “intolerable levels of disruption”, including excessive noise, frequent public disorder, drug use, and unsanitary conditions in the shared communal spaces of the building.
Despite repeated complaints and even municipal fines, the flat owners continued to let out the units to short-stay visitors through popular platforms such as Airbnb and Booking.com. These rentals brought in considerable profit but left full-time residents effectively trapped in a situation of constant disturbance, according to the ruling.
The judge found that the family’s fundamental rights to rest, health, and privacy had been persistently violated. In addition to closing the rentals, the court awarded the family €38,981 in compensation for the emotional distress and health consequences they suffered.
The ruling stands out as one of the first of its kind in Spain to address not the legality of short-term rentals, but rather their practical impact on neighbours’ quality of life. Legal observers believe the decision could serve as a precedent in other cities struggling with the social fallout of unregulated tourist accommodation.
Madrid currently has over 15,000 tourist flats, with many operating without proper licences or supervision. The city council has been under growing pressure from neighbourhood groups and housing advocates to take action against overtourism, gentrification, and the erosion of residential space in central districts.
Responding to the ruling, a spokesperson for the Madrid Neighbourhood Assembly said:
“This decision finally puts people before profit. It proves that residents can fight back against the unchecked spread of tourist lets that are turning our homes into hotels.”
City authorities have indicated they will step up enforcement against illegal rentals and consider new bylaws to restrict the number of licences granted in residential blocks. The ruling could also embolden other residents facing similar conditions to take their cases to court.
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