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Lucerne’s court upholds strict limits on short-term tourist rentals

Tourist rentals in Lucerne face tighter rules after a court rejected industry challenges. Will the Supreme Court have the final say?

This picture tells about the and night view. In the front there is a building with many windows and...
This picture tells about the and night view. In the front there is a building with many windows and balconies. On the right side there are some street light poles.

Lucerne’s court upholds strict limits on short-term tourist rentals

A Lucerne city ordinance limiting short-term commercial rentals has been upheld by the Cantonal Court. The decision, following a legal challenge from several rental companies, found the restrictions legally justified while allowing flexibility in their application.

The ordinance, introduced after a 2023 public vote aimed at preserving long-term housing for residents, restricts landlords from renting apartments to tourists for more than 90 nights a year, though some exemptions apply.

Several short-term rental firms, including operators on platforms like Airbnb, contested the law, arguing it lacked a proper legal basis and violated constitutional rights to property and economic freedom. The Cantonal Court dismissed these arguments, ruling that the city has the right to regulate housing in the public interest.

The court also clarified that the ordinance can be interpreted in a way that avoids unnecessary restrictions. However, the ruling is not yet final, as the companies may still appeal to the Federal Supreme Court.

The decision maintains Lucerne’s power to control short-term rentals for now. If no further appeals are filed, the 90-night limit will remain in place. The case could still reach Switzerland’s highest court for a final verdict.

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