Is that what city planners do in tourist cities?
Maybe this is just an American thing, but city planners in the US generally do not do any of that -- they exist solely to help property developers and landowners generate as much wealth as possible, as quickly as possible, so that the city can capture as much of the tax-base growth as possible.
Effectively zero thought is given to people, how they could live, work, transport themselves, utility infrastructure, schools, or anything of that nature. Affordability especially -- how real people are supposed to afford any of this -- is never ever planned for.
Planners talk about this all the time, of course, and love the illusion that their work somehow solves these problems. But in truth, they don't. And usually, the results of their effort are slightly worse than prior.
The only things planners routinely accomplish, are things that privatize urban core's wealth for the wealthy and/or increase taxable value of acreage -- things that make cities more expensive and less hospitable to human life.
> If they plan correctly, there is a finite amount of hotels or holiday homes available in an area, and once those are full, the town or city can house no more tourists
Is there any city that actually follows this? In the US, any idea of capping growth like this would get you labeled "anti-business", "NIMBY", and "economically illiterate". Capitalism demands infinite growth forever indefinitely (literally every facet of the whole world is just a commodity to be 'supply vs demand-ed', dontcha-know?), and any plan that limits that in any way would be immediately be rejected by every professional planner in the nation.