IP03

62 // iberian.propery / 2017

dossier// ISSUE: TOP IBERIAN cities

UNIVERSITY ACCOMMODATION

Given the great momentum that is making the Portuguese capital an

international destination for university students, the student residence

sector is one of the alternative segments that is starting to awaken

investor interest, attracting new players to the city.

Demand

: representing 11% of the Portuguese student

population, almost 16.000 of which studying in

Lisbon, foreign students are the principal target for

this product

Supply

: the stock for modern residences is still

residual, since most of the supply of student

accommodation is operated through private

apartments, often within an informal regime with

poor quality, or obsolete public facilities. Rents vary

between 350 and 600 € per month per room, with

units in Lisbon and Porto registering great demand

and rapid take-up.

Pipeline

: two new facilities of this type are in the

pipeline for Lisbon and several projects are expected

to emerge in the next two years, especially on the

Saldanha, Almirante Reis and Bairro Alto axes, adding

to the current capacity of little more than 300 students.

INVESTMENT

Capital markets maintained a positive performance in 2017 and, until

the date of this publication, the volume of capital traded has already

surpassed the value attained in same period last year. Forecasts

indicate that the overall value traded in commercial assets in the

Portuguese market will exceed 2 billion euros in 2017 which, if achieved,

will make this a new record year.

+ than 1 billion euros

| invested in the 1st semester

in the purchase of commercial assets alone,

approximately 90% of which by foreign investors

1.5 billion euros

| in potential deals for the 2nd

semester

Retail

| continues to be the leading sector,

concentrating more than 40% of the investment in the

semester nationwide

Logistics

| this sector’s share of investment increased

ten times in comparison with the same period last

year, representing 30% of capital markets (compared

with a 3% share in 2016). This growth is due above

all to the transaction of the Logicor portfolio, which

involved an investment of 260 million euros in assets

located primarily in the Lisbon region.

Offices

| concentrated only 24% of the volume

invested during the semester, although there are

reports of various transactions of buildings in Lisbon

The capital appreciation of

real estate assets in Lisbon

remained throughout the

last semester, surpassing

the yields registered in the

last market peak, in 2007.

source:

«European Student Housing 2017»

& JLL Portugal

Avenida da Liberdade

Central Office, Parque das Nações

sources: Cushman & Wakefield, JLL, CBRE