The new regime
The most immediate consequence of the new law is that it suspended the concession of new licenses as of the 1st of August last year, from the moment it came into force. This means that all those properties with licenses obtained or validly submitted before the 1st of August, 2017 (which were only for detached houses, semis or townhouses) will be able to keep them (as long the applications were done properly) and to continue with the activity. The freeze on new licenses will remain until the authorities divide Mallorca into several different types of zones. Each zone determines whether touristic rentals can take place within a given area and if so, what types of properties are allowed to conduct such activity.
Indeed, the new law provides that all types of properties, now also including flats and terraced houses (hitherto banned from obtaining licenses), as well as detached houses, semis and townhouses (which were the only types of properties allowed under the previous legislation), will be able to obtain touristic licenses, but, crucially, as long as they sit in an area capable of sustaining touristic rentals for that type of property and, in addition, for flats and terraced houses, as long as the community of owners formally allows touristic rentals in their communities.
In sum: whilst the new law will potentially allow all types of properties to conduct touristic rentals, not all parts of Mallorca will be able to accommodate them. The restrictions will not be based on property type, like in the previous law, but on the area where the property is.