(Hina) - Construction Minister Branko Bačić said on Monday that a scheme for the installation of lifts in existing buildings is due to be adopted in the first half of 2025, and after that, public calls for lift installations will be issued, with the state providing co-financing for the projects.
The Building Management and Maintenance Act stipulates that the government must adopt a lift installation programme within 180 days upon the entry into force of the said law, which is set for 1 January 2025. The minister expressed confidence that the scheme will be adopted earlier, and as soon as it is, public calls for lift installation will be advertised.
During today's parliamentary discussion on the draft law, Bačić outlined the conditions for lift installation.
For the installation to take place, 50% of the co-owners must agree on the project. A project for the installation needs to be designed and at least 67% of the project’s value must be secured, as the state will co-finance 33% of the installation costs.
Bačić clarified that the installation program primarily targets buildings with three or more floors, but it could also apply to buildings with fewer floors if they house people with disabilities or those with limited mobility.
The minister informed the Sabor of the final draft law, which also envisages a new provision mandating the government to adopt a programme for the renovation of facades in listed cultural and historical areas of cities. The government would co-finance 33% of the total cost of facade renovation, with the municipality or city being required to contribute as well.
Short-term rentals affecting housing market
Bačić reiterated the government's intention to improve the quality of housing, particularly in multi-apartment buildings, and to introduce regulation regarding the management of buildings.
A major plank of the draft law is limiting short-term rentals in residential buildings, aiming to provide more affordable housing to locals.
He further explained the reasons behind the rise in real estate prices and rent.
Croatia has around 2.3 million housing units, of which 40% are not used for residential purposes. As a result, the housing market is experiencing a decreased supply and increased demand. Of the 958,000 housing dwellings originally built for residential purposes, 600,000 are empty, as confirmed by data from the Croatian power provider HEP for 2022, which showed no electricity usage in around 565,000 housing dwellings.
Bačić pointed out that 232,000 housing units are being used for short-term rentals.
He wondered whether the state, having invested significant funds in infrastructure for these properties, should stand by idly while apartments are repurposed.
Under the draft law, starting 1 January 2025, anyone wishing to use their property for short-term rental will need approval from two-thirds (66%) of the co-owners in the building concerned, instead of the previously proposed 80%. Property owners currently renting out apartments on a short-term basis will have five years (until 31 December 2029) to obtain the required approval.
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