IP03

2017 / iberian.propery // 83

ISSUE: TOP IBERIAN cities //dossier

INDUSTRIAL

,50

3.50 €/m²/month

– prime rent in the Greater Porto

Area in Q1 2017 (Source: Cushman & Wakefield)

,5 %

7.5 %

- prime yield in Q1 2017, 0.50 basis points less

than in Q1 2016 (7.50%)

Supply

: the rate at which new projects are launched

remains stagnant, except for some projects that are

tailor-made or aimed for owner occupancy

Opportunities & Challenges:

Growth potential

: due to less investment in the

logistics segment in the last decades, demand

currently outweighs supply

Low rents:

construction of new projects is also

financially unviable, mostly due to rents kept at

historically low levels

Bom Sucesso

Pestana Douro Hotel

Trindade Domus (©JLL)

Oporto Center

Passeio dos Clérigos, Oporto

HOTELS in the City of Oporto

Dynamic demand and robust growth

Operational performance is effectively improving,

with increases of 16.9% in RevPAR (61€), 4.3% in

occupancy (up to 73.7%) and 12.1% in the average

room price (82€) in 2016

Supplywas expanded by 15 new openings in 2016

(currently at 86). For 2017, at least six new hotel openings

are confirmed in the city of Porto which, altogether, add

up to approximately 620 new rooms in the four and five

star segments. There are also at least ten other units

awaiting approval by the municipality.

source: Confidencial Imobiliário - Porto Business Location Plataform,

CBRE, Cushman & Wakefield, Predibisa and JLL