Yes

The most obvious difference between conventional housing developments and holiday apartment developments lies in the services to be provided to the latter, according to their individual classification. Holiday apartment developments offer a way of generating income from the operation of an establishment for the purposes of tourism. Holiday apartments are essentially an income-generating product, and they are promoted by the management entity designated by the owners that is responsible for the management of all the holiday apartments within the development. The owners of the holiday apartments are not, however, obliged to use their apartments for the purposes of tourism, and may therefore use them as places of permanent residence.

Yes, you can, by simply informing the manager of your intention and signing a contract to that effect. Logistically, it is necessary to guarantee the maintenance of the duly furnished and equipped apartment in compliance with the requirements and standards applicable to the “establishment for the purposes of tourism” classification.

As a ROCIO Salema Courtyard apartment owner, you have the following rights:
1- The right to avail yourselves of the services provided by the management entity, including the minimum services prescribed and approved by law;
2- The right to receive the agreed payments negotiated with the management entity for the management of your apartment;
3- The right to use your apartment in terms of your contract with the management entity, a right which you may have waivered if you have totally assigned the use of your apartment to the purposes of tourism;

Owners of accommodation unit owners should undertake in particular:
1- To comply with the requirements arising from the legal regulations governing holiday apartments and tourist resorts and other applicable legislation, as well as the regulations contained in the Articles of Association of the management entity;
2- To avoid behaviour that undermines the touristic character of the accommodation unit and the resort;
3- To acknowledge that management rights may not be transferred, free of charge or in exchange for payment or in any other manner, to any entity other than the one designated by ROCIO Salema Courtyard;

The operation of the holiday apartments can only be carried out by the management entity, which will be a single entity responsible for all accommodation units, and will also be the administrator of the condominium.

Building works of any type must be submitted for approval by the management entity and the other apartment owners.

Although the owner may reside permanently in the ROCIO Salema Courtyard apartment, the utilization permit issued for the development will always be for the purposes of tourism, therefore, the apartment will remain classified as a holiday apartment.

The monthly income arises from the terms agreed to under contract with the management entity, which foresees a guaranteed income of 3% of the gross value of the apartment for the first 5 years of operation.

The taxation of this income will depend on whether the owner has registered with the taxation authorities under IRS (Income Taxation on Natural Persons) or under IRC (Income Taxation on Legal Persons, i.e., businesses). Whichever the case, the tax regime that applies to you and the corresponding tax obligations will always be subject to confirmation of the relevant assumptions, and for this reason we recommend that you seek specific taxation advice on your particular situation.

The apartment will be furnished and will have the basic furniture and equipment required by law in terms of the approved holiday apartment classification, the decoration and furniture being included in the price of the apartment.

The decoration costs are charged to the owner in line with the option chosen. The CPCV (Contrato de Promessa Compra e Venda, the Promissory Contract of Purchase and Sale) will state the purchase price of the apartment and the price of the decoration package chosen. The down payment for the purchase of the apartment and the down payment for the decoration package will be paid at the same time as the CPCV is signed.

The decoration pack will consist of basic equipment and furniture required by law to maintain the (3-star) classification assigned to the holiday apartment.
The following equipment is included in this decoration pack:
· Basic furniture for all rooms in the holiday apartment (beds, chairs, sofa, dining table, etc.);
· Kitchen appliances;
· Cutlery, crockery and other kitchen utensils;
· Sheets and towels;

You are not obliged to keep the same furniture and decoration. If the apartment is your permanent residence, you can adapt the decoration and furniture, but given the tourist nature of the accommodation unit, there are minimum requirements for furniture and equipment that should be maintained at all times in the holiday apartment.

The apartment may be put up for rental provided that this is done through the management entity. The service provision contract will always be a contract between the management entity and the owner of the apartment.
Which entity will act as management entity in this project?
The management entity will provide all the services associated with their function, including the following:

· Professional photographs of the property;
· Online booking management;
· Revenue management (pricing management);
· Digital marketing management;
· Check-in and check-out;
· Cleaning of the property;
· Laundry of all linen and towels;
· 24-hour customer care service;
· Collection and payment of the tourist tax;
· Communication to the SEF (Serviço de Estrangeiros e Fronteiras, the Foreigners and Borders Service) of the identity of the various guests;
· Maintenance management.

It depends. The acquisition of the property will, in principle, be subject to IMT (but it will not be possible to benefit from the reduced rates applicable to the purchase for rental purposes if you intend to use the property as your permanent residence). Depending on the use of the apartment (residential or rental under management by the management entity) and the type of buyer, the acquisition of the property may be subject, alternatively, to IVA (VAT) or Stamp Tax.

Depending on the use to which the property is put, purchasers of units integrated in a building undergoing rehabilitation can only benefit from an IMT exemption on the first transfer following rehabilitation, if the unit is for use as a rental property or permanent residence or, if located in an area of urban rehabilitation, as a permanent dwelling. Since holiday apartments are, in principle, not suitable for rental or exclusive use as permanent residences, this exemption will be excluded from the outset. The apartment will also be subject annually to IMI ((Imposto Municipal Sobre Imóveis, or Municipal Property Tax), which can be paid in instalments).

Habitat has selected Lisbon Five Stars as a service partner for the ROCIO Salema Courtyard project. Lisbon Five Stars was incorporated in 2014 and manages a large portfolio of more than 100 Local Accommodation units in Lisbon and Porto. They specialise in managing holiday apartments and tourist resorts. They provide services to both owners and users. They have a proven track-record in providing a quality service and return on investment for their clients. Habitat has worked with Lisbon Five Stars since its incorporation and recommends them