6 REASONS TO INVEST IN PORTUGAL DURING THE PANDEMIC

Jul

The current context makes us more cautious about our personal and professional daily decisions, and the real estate market is no exception.

However, the numbers show us a positive scenario and room for opportunities! We give you 6 reasons to invest in the real estate market RIGHT NOW:

In the middle of a pandemic, big deals continue to happen! Of so many examples that we could give, we highlight the investment of 15M € by Krest in the construction of a hotel next to Gare do Oriente, in Lisbon. According to B. Prime, during the first quarter of this year, 1,450 M € were invested in Portugal in commercial properties. Retail represented 60% of the investment, hotels 21% and offices 15%. Real estate investments in the logistics sector grew due to the exponential increase in e-commerce.

In the last few months, the investment made through Golden Visas is the highest since 2017, having increased 192% in May compared to the same month of the previous year. 94% of the investment concerns real estate.

Investors have more than 7,000 M € to invest in commercial real estate in Portugal, according to a survey carried out by Cushman & Wakefield, with an emphasis on offices, university residences, the logistics sector, residential income and health.

Office and retail yiedls will rise while the lockdown measures are lifted, estimates a study by JLL. About 73% of investors believe that office yields will increase in the short term, and 69% that the same will happen in the retail sector.

We continue to be the paradise of the safest countries, and the way we dealt with the pandemic has reinforced this reputation, an opinion advanced by Said Hejal, manager of kronos Homes, in an interview with DiárioImobiliário. We are an attractive country to visit and live in, safe, with easy access to beaches, the countryside and nature, and consolidated in terms of real estate investment.

85% of market experts foresee better opportunities in the Iberian market in the next 12-18 months, according to a survey developed by Real Asset Media. At the June online conference “Iberian Investment Briefing – Why Iberia?”, Simon Wallace of DWS predicts that the second half of 2020 will bring the return of economic growth to the Iberian market, while remaining active and attractive. Great opportunities will arise, especially in the hotel sector, said Cristina García-Peri of GrupoAzora.