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Bačić: We want to prevent real estate business under the guise of tourism

The new spatial planning law as a tool for sustainable development

The new Spatial Planning Act, according to the Croatian Minister of Spatial Planning, Construction and State Property Branko Bačić, aims to contribute to the further development of Croatian tourism and the economy, while also ensuring the protection of valuable land. The minister made the statement at a conference in Opatija during the panel discussion “Croatian Tourism 2025 – Are We Ready?”, organized by the Croatian Economic Association and the Faculty of Tourism and Hospitality Management, University of Rijeka.

“Tourism in Croatia is a major consumer of space – especially of the most valuable and protected coastal areas. However, space should not be a burden to development, but a resource for progress,” Bačić said.

The goal is high-quality and sustainable tourism development

According to the minister, the goal of the new legislation is to enable high-quality and sustainable tourism development that aligns with the country’s capabilities and economy. The law is expected to come into force by the end of the year and, together with the Law on Tourism Activities, represents one of the key legal frameworks for the further development of Croatia’s tourism sector.

Restrictions on property subdivision in tourist zones

One of the key provisions of the bill is the limited possibility of subdividing property units (so-called “condominium ownership”) within tourist zones. The conditions are designed to prevent speculative real estate trading:

  • The measure applies only to zones with a minimum five-star standard,
  • at least 70% of accommodation capacity must be located in hotels that cannot be subdivided,
  • no more than 30% may be in villas or other buildings that can be divided,
  • the subdivision of the entire zone is only possible after obtaining a use permit for the entire area.

It will also be required that all villas continue to operate within tourism. Future owners of individual units will therefore need to have a binding agreement ensuring that the property remains in tourist use throughout its operational lifetime.

Stricter penalties for illegal construction

Bačić also noted the adoption of several laws that tighten penalties for illegal construction. A new element of criminal liability has been introduced for building activities within protected areas. According to Bačić, the ministry plans further tightening of the rules and extending liability to other forms of unauthorized construction.

Regulation of campsites and mobile homes in Croatia

Another area the upcoming law will address are campsites and mobile homes in Croatia. The minister explained that the goal is to curb uncontrolled expansion and set clear regulatory boundaries.

“Our goal is to increase the built-up area of campsites to 30%, including mobile homes, as they are considered permanent structures under the interpretation of the ministry and professional chambers,” Bačić said.

Campsite owners will be given a transitional period of eight years to bring their facilities in line with the new spatial planning regulations.

The share of tourism in Croatia’s GDP

According to data from the Croatian Bureau of Statistics (DZS), the direct share of tourism in Croatia’s GDP in 2022 amounted to approximately 11.3%. When related activities such as transport, trade and services are included, tourism accounts for as much as 24–25% of the country’s GDP.

(Sources: Total Croatia News, TheGlobalEconomy.com)

Why tourism in Croatia is so heavily regulated

1. Protection of the coast and landscape

The Croatian coastline is among the country’s most valuable assets – both economically and ecologically. Massive construction of hotels, apartments, and villas in recent years has created significant pressure on the landscape and infrastructure. The government’s goal is to establish clear rules to ensure that tourism development does not lead to permanent environmental damage.

2. Prevention of real estate speculation

In many coastal regions, properties are officially registered as tourist accommodations but are used mainly for residential or investment purposes. The new legislation aims to end such practices and protect the genuine tourism sector.

3. Seasonality and infrastructure overload

The tourism season in Croatia is short and concentrated in the summer months, causing major fluctuations in demand for water, transport, energy, and waste management. Stricter spatial regulations are intended to maintain a balance between the needs of tourists and the quality of life for local residents.

4. Sustainability and quality of the destination

Croatia is striving to move away from mass summer tourism toward a model of higher added value – focusing on sustainability, service quality, and the protection of space as a key national resource for economic growth.


Tourism directly contributes around 11% to Croatia’s GDP, while its total economic impact reaches up to a quarter of the national economy. The regulation of construction, ownership, and coastal land use is therefore not an expression of bureaucracy, but a necessary step to protect a strategic national resource – the physical space that forms the foundation of Croatian tourism.