Branded residences in Marbella and the Costa del Sol: what to check before you sign

A branded residence is a home sold with the name, design and services of a hotel group or luxury house. On the Costa del Sol most are sold off-plan, at prices well above comparable unbranded homes. Your rights depend on the contracts and registered documents, not on the brand. This is what we check before a client signs, under the rules in force on 8 October 2026.

The market in Marbella, Estepona and Benahavís

A report by Branded Residences Monitor, presented in May 2026, counted 23 active projects on the Costa del Sol with 1,559 homes, almost half of the 50 projects it found in Spain and Portugal, and more than 1,000 units due for delivery from 2026 onwards. Announced projects include Armani Residences with Sierra Blanca Estates in Marbella and the first St. Regis residences in Spain at Finca Cortesín, in neighbouring Casares. Fashion, design and car brands have also licensed their names to villa and apartment schemes in Marbella and Benahavís. Many are still under construction, so buyers often pay large sums for a home that does not yet exist.

How a branded residence deal is structured

A typical purchase involves several documents, and the brand signs only some of them.

Under article 5 of the Horizontal Property Act (Ley de Propiedad Horizontal), statutes registered in the Land Registry bind later owners. A restriction written into them by the developer will apply to you and to anyone who buys from you.

The first question: is it legally a home or a tourist establishment?

Branded residences in Andalucía follow two broad models, and the legal consequences are very different.

• Residential model. The units are homes in a building divided into flats, with services provided by an operator. You may live in the property, let it on long-term leases and, if the rules allow it, let it to tourists.
• Tourist establishment model. The units form part of a hotel or tourist apartment complex. Andalusian tourism law (article 41 of Ley 13/2011) applies the principle of single operation: one operator runs every unit, and owners must hand over their unit for letting. Your own use is limited to what the operating agreement allows, and under Decreto 28/2016 units in an establishment that occupies the whole building cannot be registered separately as tourist homes.

The classification affects the VAT rate, the deposit guarantee, financing, how long you can stay and who can buy from you. Check the licence and the planning use of the plot before you pay anything; the brochure is not evidence of either.

Off-plan payments: the statutory guarantee

Since 1 January 2016, payments on account for homes under construction are governed by the first additional provision of the Building Act (Ley 38/1999, de Ordenación de la Edificación), in the wording given by Ley 20/2015. It replaced the old Ley 57/1968. The developer must:

• guarantee, from the date of the building licence, the refund of every payment plus applicable taxes and statutory interest, through a surety insurance policy or a joint and several bank guarantee;
• receive your payments in a special account at a bank, kept separate from its other funds and used only for the construction;
• state in the contract its obligation to refund, the insurer or bank providing the guarantee, and the account for payments;
• give you, when you sign, an individual guarantee document covering the amounts you are going to pay.

If building does not start, or the home is not delivered on time, you may terminate and recover what you paid with taxes and statutory interest, or agree an extension in writing. With a bank guarantee, act promptly: it lapses if you do not demand the refund within two years of the developer’s breach. The guarantee is cancelled once the occupancy document is issued and the home is delivered.

There is an important limit. The Supreme Court has held that this protection follows residential use. In its judgment of 10 December 2021 (appeal 5485/2018), it refused protection to the buyer of an apartment in a complex built for tourist and hotel use, explaining that «all kinds of homes» refers to types of home, not to all types of buyer. Holiday and second homes can be protected, but a unit within a hotel operation, or bought purely as an investment, may not be. In that case insist on an individual guarantee in your name and read its terms.

The brand licence and what happens if the brand leaves

The brand licence is a commercial agreement between the brand and the developer or operator, for a fixed term, and the brand can usually end it if standards or fees are not met. The name then comes off the building and the premium you paid may not survive on resale. Before signing, we ask:

• How long does the licence run, and can it end before the services agreement does?
• If the brand leaves, does the operator have to find a replacement of equivalent standard, and do owners have a say?
• Do brand fees and service charges fall when the brand leaves?
• Can the owners end the operator’s contract for poor performance, and on what notice?
• Who owns the club, spa and other amenities: the community of owners, the developer or a third party who could close or sell them?

Fees, service charges and rental programmes

There are two layers of cost: ordinary community charges, shared by participation quota, and the fees for branded services. The services agreement should state what is included, how fees are reviewed and whether increases are capped.

Some rental programmes are optional, others a condition of purchase. Check:

• the split of income and which costs come off the top before it (commissions, marketing, cleaning, furniture replacement reserves);
• how many weeks you may use the unit yourself, and in which seasons;
• the minimum term, renewal and the cost of leaving;
• whether any «guaranteed return» is guaranteed by a solvent company, for how long, and whether it is simply discounted from the price.

Tax on lets is changing. Under Real Decreto-ley 29/2026, in force since 8 October 2026 but still awaiting parliamentary validation, furnished lets of 30 nights or less pay 10% VAT from 1 December 2026, even without hotel services. In municipalities declared stressed housing markets, councils may also add up to 50% to the council tax (IBI) of tourist properties, more for owners of several.

Tourist lets in Andalucía: what applies now

If your unit is a residential home and you want to let it to holidaymakers yourself, or through an operator, it must be registered as a tourist home (vivienda de uso turístico) under Decreto 28/2016, amended by Decreto 31/2024. The operator files a responsible declaration with the regional tourism authority and the home is entered in the Andalusian Tourism Register before it can be advertised. The rules also provide that:

• a home cannot be registered if the building’s title or statutes expressly prohibit tourist accommodation;
• since 2024, town halls may limit the number of tourist homes per building, area or zone, for overriding reasons of general interest.

The Horizontal Property Act was amended with effect from 3 April 2025. An owner who wants to start tourist letting now needs the community’s prior express approval, by three fifths of the owners who also hold three fifths of the participation quotas. The same majority can limit, condition or prohibit tourist lets, but such resolutions are not retroactive. Owners who were already letting under the tourist rules before 3 April 2025 may continue on the terms of those rules. In October 2024 the Supreme Court had already confirmed that a three fifths majority can ban tourist lets in a building.

For a scheme sold on the strength of rental income, we check whether the statutes expressly authorise the rental programme, whether the approvals exist and whether the town hall has imposed limits in that area.

Use restrictions and resale

Statutes and brand agreements often restrict alterations, interior design, pets and lettings outside the official programme. On resale, look for the operator’s right of first refusal, transfer fees, an obligation on your buyer to sign the same agreements and limits on using the brand name in your advertising. All of these affect who can buy from you and at what price.

A resale of a completed unit in Andalucía generally pays transfer tax at 7% instead of VAT.

Taxes on the purchase from the developer

The VAT rate depends on what the unit legally is, not on how it is marketed. If 10% is applied to a unit that is legally tourist accommodation, the tax authority can assess the difference and the developer may seek to pass it on to you.

Licences: building, occupation and operation

Three permits matter. The building licence starts the developer’s guarantee obligation. On completion, occupation of a new building in Andalucía is authorised through a responsible declaration of occupation and use (article 138.1.d of Ley 7/2021, known as LISTA), in place of the old first occupation licence. The guarantee is only released on delivery with that document, so the contract should not allow the final payment to be called without it. For tourist schemes, the operator also needs its registration as a tourist establishment.

Checklist before you sign

How we work on branded residence purchases

Peralta Rojas Abogados was founded in 2017 by David Peralta Rojas, who previously worked at Garrigues. He is a member of the Seville Bar Association (ICAS no. 15174). We advise in English and Spanish. Meetings in Marbella by appointment, and by video call. If you are not in Spain for completion, you can sign through a notarial power of attorney.

Our fee for full advice on a purchase is between 1% and 1.5% of the purchase price plus VAT, depending on the complexity of the transaction. On a €2,000,000 residence, that is between €20,000 and €30,000 plus VAT, confirmed in writing before we start. If the purchase does not go ahead because of a legal problem we detect, the amount paid on account remains as a credit for up to two further purchases within two years.

For more on buying on the coast, see our pages for a property lawyer in Marbella, for buyers on the Costa del Sol and our guide to buying property in Spain.

Frequently asked questions

Do I need my own lawyer if the developer recommends one?

Yes. The developer’s lawyer acts for the developer, and branded residence contracts are drafted in the developer’s and operator’s favour. Only an independent lawyer will negotiate them for you.

Is my off-plan deposit protected by law?

For homes, yes: from the building licence the developer must guarantee every payment, plus taxes and statutory interest, with insurance or a bank guarantee, and use a special account. The Supreme Court has held that this protection follows residential use, so units within a hotel operation may fall outside it. Ask for an individual guarantee in your name.

What happens if the brand leaves the development?

The brand licence ends, and with it the name and branded services. What happens next depends on your agreements: whether a replacement brand is required, whether fees fall and whether owners can change the operator. These points should be settled before you sign.

Can I let my branded residence to tourists?

Only if the unit can be registered as a tourist home or is part of an authorised tourist operation. Since 3 April 2025, starting tourist lets in a building needs prior approval from three fifths of the owners, and town halls in Andalucía may limit tourist homes by building or area.

What VAT do I pay on a new branded residence?

10% if the unit is legally a home, plus 1.2% stamp duty in Andalucía. If the unit is not legally a home, for example a unit within a tourist establishment, the general rate of 21% applies.

Am I obliged to join the rental pool?

In a tourist establishment under Andalusian law, owners must hand their unit to the single operator. In residential schemes the programme is usually optional, unless the statutes or purchase contract make it a condition.

In a first meeting we review the reservation document or draft contract, the guarantee offered, the services and rental agreements and the draft statutes, and tell you what needs to change before you sign. You then receive a written quote for the full purchase.