AADE circulated, through Circular O. 3042/15-09-2026, the provisions of Law 5329/2026, which establish the framework for housing assistance and initial assistance for buildings owned by individuals and legal entities that have been affected by natural disasters.
The regulation may apply to property owners and businesses operating in hospitality or rentals, provided they own affected buildings. It is not a provision specifically concerning short-term rentals, but rather a horizontal framework for state assistance to affected parties.
Tax-exempt and protected from seizure housing assistance
Housing assistance for affected buildings owned by individuals and legal entities is provided on a tax-exempt basis and is protected from seizure. At the same time, it is not offset against certified debts.
For insured privately owned business buildings, assistance is provided for the amount of the damage not covered by the insurance compensation.
Application for initial assistance through the electronic platform
The application for initial assistance is submitted through the electronic state assistance platform. The amount may not exceed 80% of the full ownership value of the building, as taken into account for ENFIA purposes.
The framework also provides for the recovery of amounts that were paid without being due. Specifically for business buildings, the recovery of unduly paid amounts is subject to interest.
The provisions are included in Law 5329/2026, published in Government Gazette A΄134/04-09-2026, which concerns, among other things, state assistance and private insurance for businesses against natural disasters.
Source: AADE
