The fund entered the country in 2013, "when the country stopped falling, in favor of investors and the land and buildings were at lower prices," explains to Expresso newspaper the investment director Maximilian Hegret. According to him, the commitment started exactly for the renewal of apartment buildings for lease, mainly in suburban areas, Vila Franca de Xira, Amadora, Oeiras, Barreiro, Almada, Corroios and Setubal.
In total, there are already more than 20 renewed buildings, with about 250 apartments, to which is added the development of another 50 apartments in the outskirts of Lisbon. The Director explains that "We see that there are more and more Portuguese making the transition from owner to tenant, either by necessity or choice, but there isn’t sufficient stock at affordable prices." Therefore, the fund believes that "exploiting this market is profitable but also rewarding, because we will be providing to low-income families an attractive home at fair prices."
These are projects where the average rent of a T2 is less than €400 per month. "That's why we want to continue to add as many of these units as possible to our portfolio."
In Portugal, Ares Capital owns Évora Plaza, formerly Évora Shopping, which it purchased from Novo Banco. It also owns an old office building on Rua do Conde Redondo in Lisbon, which will become the city's first easyHotel in April.