Hotel licensing and star classification by country

A hotel is a licensed activity, not only a building. The licence decides whether the business can open, which category it may use and whether it can be sold with the building. There is no single European hotel licence: rules are national, and in some countries regional or municipal. This article maps who is responsible in the countries our readers ask about. It starts the legal due diligence described in buying an operating hotel versus a building to convert. We checked the authorities below against official or authoritative sources in October 2026; confirm the current procedure with the body named in each section.

Three different things that are often confused

• The operating licence or registration. Permission to run tourist accommodation, issued by a tourism ministry, region, municipality or a national register.
• The classification (stars). The category of the hotel, assessed against criteria. Mostly a marketing tool, but in some countries it also feeds into licensing or other obligations.
• Planning and building use. Whether the building is permitted for hotel use, set out in the planning and building permits, separate from the tourism licence.

A seller may have one without the others. Stars on a booking site do not prove a valid licence.

The EU picture and the Hotelstars Union

The European Union does not license hotels. Each member state decides. The Hotelstars Union (HSU) is a voluntary system of shared classification criteria run by national associations. Its member page lists 22 full members, including Germany, Austria, Poland, Greece, the Czech Republic, Hungary, the Baltic states, the Netherlands, Belgium, Switzerland and Slovakia. France, Ireland, Italy and Ukraine are only observers. Spain, Portugal, Croatia, Cyprus, Turkey and the UAE are not on the list, so they use their own schemes. The current list and criteria are on hotelstars.eu. The same number of stars can mean different things in a member and a non-member country, so read the national criteria before comparing.

Country notes

Spain. Tourism is a regional competence: each autonomous community has its own hotel rules, registration and classification (around seventeen regimes). Hotels and tourist apartments are usually regulated separately. Start with the tourism department of the hotel's region.

Italy. Stars are assigned at regional level, sometimes delegated to municipalities, within a 2008 national framework with a common one-to-five-star scale. A tier above five stars (5 stelle lusso) is reported, but we did not confirm it in the legal text. Italy is only an HSU observer. Since 1 January 2025 a national identification code (CIN) is mandatory for tourist accommodation and short-term rentals, issued through a Ministry of Tourism platform at bdsr.ministeroturismo.gov.it. Ask the region about the operating licence.

Greece. Greece joined the Hotelstars Union in 2013 and applies it since 2015, with the Hellenic Chamber of Hotels as national representative. Hotels are classified from one to five stars under Ministerial Decision 216/2015, as amended. The Special Operation Sign (EOT, ESL) for tourist businesses is issued by the Ministry of Tourism. We could not confirm the current division of work between the Ministry and the Chamber, or any role of the Greek Tourism Confederation (SETE), an employers' association; ask a Greek lawyer who inspects and who issues what. More in buying a hotel in Greece.

Portugal. Turismo de Portugal organises the National Register of Tourism Enterprises (RNET). Hotels, aparthotels and other types are rated one to five stars under Portaria 327/2008, as amended. Local accommodation (alojamento local) is a separate regime: prior notification to the municipality through the Single Electronic Window gives a number in the RNAL register, and municipalities can declare containment areas limiting new registrations. See the Turismo de Portugal licensing page and our Portugal hotel article.

Croatia. The Ministry of Tourism and Sport issues the ordinance on classification, categorisation and special standards for hotels (published in the Official Gazette, NN 56/2016, with later amendments). Reportedly, three to five stars are decided by the Ministry and one to two stars by county commissions; we did not verify this in the current text. Private accommodation has separate rules. The ordinance has been under review, so confirm the current version. See our Croatia hotel article.

Cyprus. Hotels and tourist establishments are governed by the Regulating the Establishment and Operation of Hotels and Tourist Establishments Law of 2019 (34(I)/2019). The Deputy Ministry of Tourism issues the operating licence through its district offices, and then classifies the hotel from no star to five stars, within about two weeks of the licence. The licence is valid for three years and renews on payment of a fee; the classification is also renewed every three years. Applicants must be EU residents or citizens, or EU-registered companies. We could not confirm how the licence passes on a sale; ask the Deputy Ministry. See Business in Cyprus.

Turkey. The Ministry of Culture and Tourism issues the tourism investment and tourism operation certificates under the Tourism Encouragement Law no. 2634 (simple accommodation facilities are a separate category). A workplace opening and operating licence from the municipality is a prerequisite. A secondary source reports that since a 2023 amendment, facilities with a municipal licence must obtain the ministry certificate within six months; we did not confirm how it applies to existing facilities. The ministry publishes a list of certified and municipality-registered facilities at ktb.gov.tr.

United Arab Emirates. Licensing and classification are by emirate. In Dubai, the Department of Economy and Tourism (DET, formerly DTCM) classifies hotels from one to five stars and hotel apartments in separate categories; see its hotel permits page and classification service. In Abu Dhabi the Department of Culture and Tourism (DCT) publishes a hotel classification manual, reportedly updated recently. Dubai holiday-home rules and foreign ownership zones are separate topics we did not review.

Change of use

Buying a building to convert into a hotel, or an apartment block to run as an aparthotel, requires the use of the building to be changed. Typical issues are:

• A residential or office building may not be zoned for tourist use, and a change may be refused or take long.
• A protected or heritage building adds a layer of approvals and can restrict interior and facade work.

Never rely on a seller's word that conversion is possible. Get the answer from the planning authority, in writing, through a local lawyer.

Fire safety and accessibility

Hotels face stricter fire and safety standards than homes: escape routes, alarm systems, emergency lighting, regular inspections and a safety plan, with details set nationally or locally. Accessibility rules may require an accessible entrance and adapted rooms. Older buildings often fail some of these, and retrofitting can be a large share of the budget. Ask for the latest inspection reports, the fire certificate and an independent technical survey.

What to verify before you buy

• The licence or registration number, the holder and the authority that issued it, in writing.
• Whether the licence transfers on a sale of the building or of the company, and on what conditions.
• The current star category, the criteria used and the date of the last inspection.
• The planning use and building permits, and whether all rooms are covered, including any added later.
• Fire, safety and accessibility certificates, and any open orders from the authorities.
• Whether any beds or rooms are operated beyond the licensed number.
• Local tourism tax registration and compliance history.

FAQ

Does a 4-star hotel in one country equal 4 stars in another? Not necessarily. Hotelstars Union members share criteria; Spain, Portugal or Turkey use their own schemes.

Can I buy a hotel and keep the old licence? It depends on the country, the licence type and whether you buy the asset or the company. Confirm in writing with the authority.

Do stars affect the value? They affect positioning, distribution and sometimes operator interest, but value follows net income. See how to value a hotel.

Where do I find the authoritative rules? On the website of the national or regional tourism authority, and through an independent local lawyer who works with them regularly.

How we help

We help you identify the right authority in each country, request the licensing and planning documents and coordinate independent local lawyers and technical advisers. See hotels in our catalogue. This article is informational and is not legal, tax or investment advice. Rules change, so verify the current text with the official body.