The key issue under examination is whether operating an Airbnb constitutes residential or tourist use under urban planning law. The court will determine if short-term rentals constitute an unlawful change of use from residential to tourist accommodations, particularly in areas with strict zoning regulations that prohibit hotels and other tourist lodgings.

The case was brought by the Hellenic Society for the Environment and Energy and Plaka residents, who seek to annul an October 17, 2023, decision by the Athens Municipality’s Urban Planning Department, which rejected their request to shut down an Airbnb operating in the district.

The plaintiffs argue that properties listed on Airbnb are functioning as tourist accommodations rather than residential homes and should be sealed off, as only general residential use is permitted in Plaka. They further claim that existing legislation strictly limits the permitted land uses to residential and mixed-use functions while prohibiting establishments that could disrupt the neighborhood’s character, such as hostels, tourist lodgings, or new hotel developments.

Citing Article 24 of the Greek Constitution, the plaintiffs stress that land use regulations are fundamental to urban planning and must ensure the sustainable development of settlements and the highest possible quality of life for residents.

The Athens Municipality did not attend the hearing but submitted a written statement.