Porto’s New Housing Charter: Addressing the Crisis and Impacting AL
Porto’s City Council has launched its Carta Municipal de Habitação (CMH), a strategic housing charter designed to combat the city’s severe housing shortage and ensure equitable, accessible living conditions for all residents. Approved for public discussion in February 2025 , the CMH is grounded in the Lei de Bases da Habitação (Law No. 83/2019) and aligns with the city’s Plano Diretor Municipal (PDM).
Key Strategic Pillars
The CMH is built upon five core strategic domains:
- Accessibility: Balancing supply and demand to enhance access to affordable housing.
- Equity: Addressing vulnerabilities and socio-territorial disparities through inclusive social development.
- Sustainability: Promoting energy efficiency and environmental stewardship, especially in older buildings.
- Partnership and Co-Creation: Fostering community engagement and collaboration with public and private stakeholders.
- Resource Mobilization: Utilizing available land, vacant buildings, and financial tools to expand the housing supply.
Diagnosing the Housing Challenge
The CMH’s diagnosis reveals critical imbalances:
- A significant portion of homes are underutilized or vacant, yet over 16,000 households live in overcrowded conditions.
- A substantial percentage of buildings require medium to deep renovations, particularly those built before 1960.
- The city faces a low rate of new construction, exacerbating affordability issues.
Implications for Alojamento Local (AL) Owners
A key component of the CMH is the proposed delimitation of Zonas de Pressão Urbanística (Urban Pressure Zones). These zones, characterized by difficulty in accessing affordable housing, consider factors such as:
- Median property sale prices.
- The number of families on public housing waiting lists.
- The volume of vacant homes.
- The concentration of Alojamento Local units.
While the CMH doesn’t explicitly introduce new AL regulations, its diagnostic framework and policy tools suggest potential implications. This could lead to increased scrutiny of AL’s role in housing access, especially in central areas. Owners in designated pressure zones may face future constraints, such as limitations on converting residential units to AL or pressure to reintegrate properties into the long-term rental market.
Next Steps
The CMH is currently undergoing a 30-day public consultation, allowing residents and stakeholders to submit contributions. Following this, the finalized Charter will be presented to the Municipal Assembly for formal adoption. This public engagement underscores the municipality’s commitment to a collaborative approach in addressing Porto’s housing needs.
