The real estate activity registered, in Lisbon, between July and August shows that its dynamic performance is back, so much so that investment during this period was in line with last year’s investment levels.
There were 8 commercial investment operations registered in Lisbon during the Summer, representing 546 million euro, in line with the 581 million euro registered during the same period last year a decrease of only 6%. When compared to the previous quarter – when investment in Lisbon was practically paralysed – this amount is 12 times higher.
Most of this capital was invested in the office segment – around 82%. This is justified by the Lagoas Park deal which was closed for 421 million euro and which represented 77% of all investment during this period. The other office purchase concluded during this period, was that of Expo Tower Building by group Ageas Portugal for around 27.5 million euro.
Retail had a share of 12% of all real estate investment during the Summer in Lisbon, explained by the acquisition of the Lisbon Fashion Outlets by APG for around 40 million euro and by the purchase of 2 retail spaces at Lisboa Park by Savills Investment Managers for 23 million euro. The alternative segment had a 4% share and the hotel segment a 2% share of all real estate investment during the Summer in Lisbon.
Despite some nuances, real estate’s investment distribution followed the trend of the last 4 quarters within the Portuguese capital, which shows that 47.6% of the 2.831 million euro invested were allocated to the office segment. Retail occupies the second place, representing 42.8% of the investment, the hotel segment 6.5%, the alternative segment 2.9% and logistics only 0.2%.
Asset Managers and Insurance Companies lead investment
The analysis of the last 4 quarters highlighted on the latest Lisbon Report from Iberian Property showed that asset managers and investment funds are the ones who invested the most in the city during this period, representing 45.7% of all investment during this period, followed by insurance companies and pension funds with 42.6%.
Private equities also had some impact in terms of investment in Lisbon, with 311 million euro invested during the last 12 months, representing 11% of all investment. Other qualified investors represented 0.5% and REITs only 0.1%.
All the information is available at the Lisbon Report from Iberian Property which can be downloaded HERE.
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Disclaimer: This information is based on public data gathered within the platform Iberian Property Data. All estimates were calculated based on registered public information and data from the main consultants within the market. It should be noted that the results presented here may be updated if new information is issued.