Ibiza Proposes Record €4.2 Million Fine for Alleged Illegal Tourist Rental
Ibiza Town Hall is preparing a proposed €4.2 million urban-planning sanction against a single property allegedly used for tourist accommodation without the required authorisation. If approved, it would be the largest penalty the municipality has announced in its campaign against illegal tourist rentals.
Mayor Rafael Triguero announced the proposal on 21 October during the municipal state-of-the-city debate. He said the proposed penalty represents 75% of the building’s assessed value and is expected to be considered by the Local Government Board in the coming weeks.
The sanction has not yet been formally approved. The administrative procedure must be completed before the proposed amount becomes an imposed penalty.
How the proposed €4.2 million sanction is calculated
According to the mayor’s announcement, the proposed €4.2 million penalty is calculated as 75% of the value attributed to the building. That implies an assessed value of approximately €5.6 million for the purpose of calculating the sanction.
The legal basis cited is Article 167.4 of Balearic Islands Urban Planning Law 12/2017. The provision addresses changes in the use of buildings or properties without the required urban-planning authorisation.
Where the new use is not permitted or is subject to conditions under the applicable planning rules, the law provides for a fine ranging from 50% to 100% of the building’s value, alongside the relevant statutory calculation rules.
The proposed 75% penalty therefore falls within that range. The municipality has not publicly identified the property in the announcement, and the available information does not establish the identity of its owner.
Four previous sanctions approved since 2025
Triguero said the municipality had approved four sanctions for illegal tourist rentals between 2025 and October 2026, with amounts ranging from €276,000 to €795,000.
One of the largest previous penalties was approved in June 2026. The Local Government Board imposed a fine of €793,443.74 after rejecting the objections submitted by the entity involved in that case.
That proceeding began after a joint inspection by the Local Police and municipal Urban Planning services in 2024. The inspection found that a residential property was being used for tourist accommodation without the required authorisation, according to the municipality’s account.
In November 2025, the town hall also approved two other sanctioning cases with a combined value of €740,239.51.
The proposed €4.2 million penalty would be substantially higher than these previous cases, although its final amount and legal status depend on the outcome of the administrative process.
Ninety-nine inspections and seven properties sealed
The mayor also presented figures on municipal enforcement activity against unauthorised tourist accommodation.
According to the figures reported by La Voz de Ibiza, the town hall carried out 99 housing inspections between June and October 2026. These inspections resulted in 14 formal reports, which remain under administrative processing, while seven properties used for illegal tourist rentals were sealed.
The figures cover different stages of enforcement. An inspection may lead to a formal report and the opening or continuation of a case, while sealing a property is a separate measure. The 14 reports should therefore not be treated as 14 final sanctions.
The municipality’s enforcement activity forms part of its broader effort to identify properties being used for tourist accommodation without the necessary authorisation.
Town hall links enforcement to housing pressure
Triguero has presented action against illegal tourist rentals as part of the municipality’s response to housing pressure in Ibiza. The council argues that residential properties should not be used for unauthorised tourist accommodation where the activity breaches planning rules.
The mayor also cited the claim that Ibiza leads the reduction in illegal tourist accommodation, referring to analysis by Exceltur. That comparative claim is attributed to the mayor and was not independently assessed in the information reviewed for this article.
The proposed sanction comes amid wider municipal measures intended to increase residential housing availability. However, the €4.2 million case concerns an alleged planning infringement involving one property; it does not itself demonstrate how much housing will become available as a result of the wider enforcement campaign.
What happens next?
The proposed €4.2 million sanction must still be considered by the Local Government Board. Until that step is completed and the relevant procedure finalised, it should not be described as a formally imposed fine.
If approved, the case would mark a major escalation in the municipality’s financial penalties for unauthorised tourist use of residential property. For now, the confirmed development is the announcement of the proposed amount, alongside the town hall’s reported inspections, pending cases and previously approved sanctions.
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