Hotel Licensing in Greece: From Building Permit to Notification of Operation

Greece modernised its hotel licensing regime around a simple trade: instead of waiting for an operating licence, hotels now start operating upon a notification — but the state audits afterwards, and the burden of having a complete, compliant file rests squarely on the operator. For investors, that shift makes the compliance file a permanent asset-management obligation, not a one-off formality.

The Licensing Sequence in Practice

1. Development-stage approvals

Before any notification, the property must exist lawfully for hotel use: compatible land use, building permit for hotel purposes (or lawful change of use for conversions), environmental approvals where required by scale and location, and fire-safety approval based on the applicable fire-protection studies.

2. Notification of operation

Operation commences upon submission of the notification through NotifyBusiness, identifying the operator and the establishment. No prior administrative approval is issued — which is precisely why the underlying file matters so much: the notification asserts, in effect, that every prerequisite is satisfied.

3. The compliance file

The operator must maintain, at the premises and available for inspection, the full set of supporting documents — indicatively: building permit and lawful-existence documentation, fire-safety certificate, environmental compliance where applicable, water/sewage documentation, classification certificate and insurance. Deficiencies discovered in an ex-post inspection can lead to fines and, in serious cases, suspension of operation.

4. Classification

Star ratings (1–5) are awarded against a points-based system of mandatory and optional criteria covering the building, facilities and services. The classification certificate is renewable and must reflect the hotel as it actually operates — renovations, expansions and service changes can all affect it.

Where Projects Get It Wrong

• Conversions without full change of use. Operating a converted building on the strength of its old permit is a classic — and discoverable — defect. See our companion piece on hotel conversions.
• Fire-safety drift. Alterations after the fire-safety approval (new partitions, changed uses of rooms) can silently invalidate the certificate's factual basis.
• Classification mismatch. Marketing a category the certificate does not support, or letting the certificate lapse after renovation.
• Transaction blind spots. In hotel M&A, the target's notification and file must be verified document by document — the notification regime means no authority has recently “approved” anything.

The Investor's Takeaway

The notification regime is genuinely faster than the old licence — but it converts licensing from a gate into a continuing obligation. Treat the compliance file as a living part of asset management, budget for its maintenance, and audit it before every transaction, renovation or rebranding. In due diligence, we treat the file's completeness as a direct input to price.

This article provides general information, verified against the cited sources at the date of publication. It does not constitute legal advice; project-specific requirements vary.