New regulations coming up for city and boutique hotels in Palma. | Jaume Morey

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The zoning for holiday rentals having been presented, Palma town hall is also on the point of introducing new regulations for all types of hotel and hostels.

Deputy mayor for urban planning José Hila says that at present there is great flexibility regarding where hotels can be created. The revised general urban plan will complement the decisions on holiday rentals and will address what Hila says has been high exponential growth in the recent past. New regulations will determine development over the next twenty years and will enable the town hall to "direct and maintain quality standards".

Since last July there has been a moratorium on the issuing of new licences for hotel development. This moratorium applies to the city centre, Eixample, Santa Catalina, Nou Llevant and Playa de Palma, and it was motivated by the rise in "tourist pressure"; it is due to be lifted in July this year. The moratorium didn't, however, include boutique hotels with certain specifications. Hila suggests that the new regulations may well limit them both in terms of their number and where they can be.

The regulations, it seems, are mainly driven by the proliferation of hotels in the city of differing categories and therefore the possible impact on residential accommodation and prices for renting. In 2016 there were 38 hotels in the city centre, but in the first few months of last year there were no fewer than 63 requests for planning permission for conversion or redevelopment. These would mean a doubling of the number of accommodation places.

In the case of Nou Llevant, this is the area near to the Palacio de Congresos. It has been reported in the past that there is a great deal of potential for this area because of the opening of the Palacio. The town hall is determined, however, to ensure a balance with residential accommodation needs.