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[PIO] The Draft Regulations for Outdoor Hotels approved by the Council of Ministers

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The approval of the Draft Regulations submitted by the Ministry of Tourism in relation to "Outdoor Hotels" was decided today by the Council of Ministers.

The newly created term "Outdoor Hotels" was introduced with the passing of the "Regulation of the Establishment and Operation of Hotels and Tourist Accommodation (Amendment) Act, 2024" by the House of Representatives on 14.03.2024. The aforementioned amending Law achieves the formulation of a new policy for hotels operating or expected to operate within the community core of mountainous and/or disadvantaged areas or in other suitable locations within the development boundaries of these areas.

In this context, the State Ministry of Tourism submitted Draft Regulations, approved by the Council of Ministers, consisting of the following relaxations:

[A](a) Right to a 20% deviation in the minimum area of the reception area (including the seating area) compared to that provided for hotels located in other areas.

(b) Exemption from a relevant provision specifying the minimum area of indoor common areas.

(c) Allowing single rooms to constitute up to 50% of the total number of rooms.

(d) Allowing a 10% deviation in the minimum floor area of rooms from that provided for hotels located in other areas.

(e) Exemption from a relevant provision specifying that it is mandatory to provide a balcony or terrace or garden room in at least 50% of the hotel rooms.

(f.) Exemption from a relevant provision specifying that the provision of a swimming pool is mandatory for four (4) and five (5) star hotels.

In essence, the same relaxations that apply to urban hotels apply. It should be noted that the aforementioned set of regulations emerged after the House of Representatives passed a proposal for a law submitted by the MPs Kyriakos Hatzigiannis and Nikos Sikas.

The above provisions are expected to have a positive impact on the development of hotel businesses in these areas, while, at the same time, existing hotels are now allowed to be upgraded in class/category, provided that they meet a number of other conditions.

(KK)
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