Real estate investment closed the first quarter of this year with a volume of transactions of 261 million euros, a figure that represents a slight decrease of 6% when compared to the same period in 2023.
According to Savills, about 75% of the total investment volume was allocated to the retail and office segments, which demonstrates the strength and dynamism of these areas of real estate on the national scene.
In the office segment, the largest transaction in the first quarter of 2024 was the sale of the Key Tower in Parque das Nações by Krest to the German fund REAL I.S, which marks its debut in Portugal. The sale of Sintra Retail Park, one of the main retail parks on the national market, marked the quarter and reaffirms the renewed interest of investors in this segment, the consultancy points out.
For its part, the hotel segment also continues to attract a great deal of interest. The sale of a resort in the Algarve estimated at 21 million euros and of a portfolio of hotels with units located in Greater Lisbon, are further examples of the dynamics and weight that this real estate segment has in Portugal.
The industrial and logistics segment had a total of 10 million euros transacted, which represents a contraction in activity. The counter-cyclical trend between the dynamic performance of the occupational market versus the investment market prevails, in anticipation of the arrival of prime products on the market, notes Savills.
International investment on the rise
International investment accounted for 70% of the total volume, which means that domestic investors accounted for 30% of the total investment volume, maintaining a very gradual growth path.
Both on the buyers' and sellers' side, real estate investment funds and asset management funds exerted the greatest influence on the total volume of investment recorded.
Paulo Silva, Head of Country, Savills Portugal, stresses that "the real estate market began 2024 with some caution and timidity, reflecting the macroeconomic context and the feeling of uncertainty on the part of investors. However, for this year, the strategies of investment diversification and risk, the latter centered on the living sector, are expected to boost the national real estate market, also supported by growing interest in the hotel and retail segments".
