Leasing of Commercial Units on Coasts and Shore Strips by Protocol Now Permitted

By way of the Regulation Amending the Regulation on the Administration of Treasury Immovables, published in the Official Gazette dated August 9, 2026 and numbered 33335, an amendment of close interest to tourism investors has been made to the Regulation on the Administration of Treasury Immovables. Under this amendment, the coasts and shore strips deemed appropriate by the Ministry of Environment, Urbanization and Climate Change (the “Ministry”), together with the commercial units required to be constructed on such areas, may be leased by protocol to certain public institutions and organizations and to their affiliates, in consideration of a share of the revenue and/or income.

Prior to the amendment, allocation could be made to the relevant metropolitan municipalities, municipalities or local administrative unions, in that order, provided that the arrangement was made in compliance with the coastal legislation and the approved zoning plan. The new paragraph, for its part, has placed alongside this regime a leasing procedure available to the Ministry’s organization and its affiliates. The amendment has not repealed the provisions on the granting of permission to municipalities and other local administrations. Two procedures now stand side by side for the same areas, and the choice between them has been left to the Ministry’s preference.

The principal aspect of the amendment that concerns the private sector is the following: the purpose of the lease has been set out as ensuring that the maintenance, repair, security, cleaning and similar operational activities of these areas are carried out. Accordingly, while the phrase “and similar” in the paragraph added to the provision considerably broadens the scope, the wording “to ensure that they are carried out” may be construed as placing the lessee entity in the position of procuring these works rather than performing them itself. It may thus be argued that, in addition to works such as maintenance, repair and security, “similar operational activities” may likewise be caused to be performed through third-party persons or entities within the scope of the relevant protocol. Indeed, the amendment does not provide a clear answer as to whether the tender procedures set out in the State Tender Law No. 2886 will be applied to leases falling within the scope of the new paragraph.

In this respect, operators that currently have a lease or operating relationship on coasts and shore strips would be well advised to review the term, termination and renewal conditions of their agreements, bearing in mind the possibility that their counterparty may change. For those planning new investments, it is important to clarify at the outset of the process the procedure through which the relationship will be established, what the protocol provides in respect of sub-operation, and the revenue-sharing structure.