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Sunday, Jun 01, 2025

Nice Takes Firm Stance Against Short-Term Rentals Amid Housing Crisis

Nice Takes Firm Stance Against Short-Term Rentals Amid Housing Crisis

Mayor Christian Estrosi introduces stringent regulations targeting tourist rentals to counter housing difficulties in the city.
On April 8, 2023, Mayor Christian Estrosi of Nice announced a significant shift in the regulation of short-term tourist rentals in response to a growing housing crisis.

Estrosi declared, "I will not allow the people of Nice to be prevented from living in Nice!" as he addressed the alarming rise of tourist accommodations in the city.

The mayor's announcement illustrates a coordinated effort to tackle the proliferation of short-term rentals like those listed on Airbnb.

Citing more than 13,000 active listings, he emphasized the impact on the local rental market, stating that residents, students, and newcomers are increasingly struggling to secure adequate housing.

According to the local government, Nice is currently the most affected city in the Alpes-Maritimes region, with approximately 6% of its housing stock converted into tourist rentals, compared to 3% in Marseille and Paris.

In certain neighborhoods, such as Vieux Nice and the Promenade des Anglais, as much as 70% of tourist accommodations are owned by professional investors.

The local administration has been proactively combating this trend for several years.

With the introduction of the LE MEUR law on November 19, 2024, municipalities have gained enhanced authority to regulate short-term rentals.

Estrosi noted that the city had already begun implementing mixed rental solutions prior to the law’s passage.

This approach allows property owners to lease their units for nine months to students while reserving three months for summer rentals.

So far, this initiative has successfully housed 150 students through a collaborative effort involving CROUS, CAF, Action Logement, and the Métropole.

Following the enactment of the new law, several stricter measures will be implemented citywide.

Provisional rental permits for tourist accommodations will be restricted to a maximum of three years and will not be renewable.

The annual rental period for primary residences will be reduced from 120 to 90 days.

Property owners will be required to provide an energy performance assessment and submit a sworn statement confirming their adherence to condominium regulations.

Additionally, in 39 of the most pressured neighborhoods, a quota system will halve the number of temporary authorization permits issued.

Once the annual limit is reached, no further permits will be granted.

Applications will be processed through a digital platform with set submission periods.

Important statistics regarding tourist rentals in Nice highlight the ongoing trends:
- The supply of tourist rentals has been steadily increasing, particularly since 2020 in the wake of the COVID-19 pandemic, with 13,692 listings generating 5.7 million booked nights in 2022.
- Nice hosts the highest number of housing listings in the Alpes-Maritimes, with 6% of total local housing designated as tourist rentals (compared to 3% in both Marseille and Paris).

- A growing proportion of these rentals are being offered by investors, who lease their properties for an average of 208 days annually, which accounts for 29% of listings.

- Thirty-two neighborhoods (as per the INSEE's IRIS classification) collectively represent 70% of all tourist listings in Nice.

In these areas, 70% of properties are owned by investors, with seven additional neighborhoods identified as having high tourist rental activity.

- The financial return from short-term furnished rentals is reportedly 4 to 8 times greater than that of long-term leases, contributing to increased selling prices for smaller housing units.
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