Private accommodation in Zadar adjusts to new realities

Zadar

ZADAR, 17 May 2025 – A noticeable drop in the number of registered tourist beds in the Zadar area has raised questions about the impact of Croatia’s new property tax law.

While opinions remain divided, data reveals that since the beginning of this year, the region has seen a reduction of around 500 beds compared to the end of 2024, HRT reports.

According to the Department of Economy and Tourism of Zadar County, just over 1,300 accommodation-related applications have been submitted so far this year. Of these, approximately 500 were requests to deregister accommodation facilities.

“It’s difficult to determine whether this decline is directly due to the new tax package and increased lump-sum payments,” Ante Sjauš, Head of the County Department for Economy and Tourism, tells HRT. “I believe a major factor has been a general lack of information among landlords.”

While some hosts are deregistering their properties, others are continuing to enter the market. Veteran landlord Klaudio Grdović, who is also President of the Association of Private Landlords of Zadar County, has halved the number of apartments he is offering this year. However, he attributes this solely to personal reasons.

“This isn’t unusual. Every year, between 1,000 and 1,500 new properties are registered, and 300 to 500 are deregistered. It’s part of the normal cycle,” said Grdović. “People try the business, realise it’s not as profitable or easy as expected, and simply withdraw.”

Despite the slight decrease in some quarters, data from the Zadar Tourist Board suggests an overall increase in bed capacity – up by around 3%. Yet officials are quick to emphasise that quality, not just quantity, is what truly matters.

“Accommodation in Zadar, and across Croatia, has been improving steadily for years,” said Iva Bencun, Director of the Zadar Tourist Board. “Our apartments regularly receive top awards for their decor and the hospitality of their hosts.”

There’s no shortage of available accommodation in the area, confirms Sjauš. “We have large capacities that continue to grow. Our focus is on improving quality,” he added.

Currently, 66% of registered apartments in the region carry a three-star rating, while only 12% are rated with four stars.