npl-reo Market News: Portuguese Real Estate Intelligence

#Brainsflash - Highlights in the past week were a portfolio of properties valued at more than 400 million euros that entered the market through the hands of Novo Banco
January, 17, 2023

At the beginning of the week, the opening of the first Dior store in Portugal has been made public. Alegria One, a rehabilitation project by the promoter and real estate manager EastBanc, was the space chosen by the legendary Parisian fashion brand to open its first store in the country. The store located on Avenida da Liberdade, in Lisbon, will open its doors this year occupying three storeys of the building, in a total area of 1,050m2.

Meanwhile, the building Lisboa, in Parque das Nações, has been sold by an MCAP Global Finance fund and acquired by the Banco Comercial Português pension fund. The value of the transaction has not been disclosed.

Further north, Gondomar will host a luxury real estate and tourist project in an investment of 85 million euros. The Porto Douro Marina Hotels & Villas, located on the banks of the Douro River, includes the construction of a five-star hotel, 90 villas, a marina and even a heliport. The works should be completed in the first half of 2023, and the construction of the hotel and villas will be carried out over the course of 36 months.

Soon after, there was the announcement that the Zara Store, on Rua Augusta in Lisbon, has been sold in the biggest transaction of a single high street retail space in Portugal. Deka Immobilien proceeded with the sale of the asset whose new owner is a subsidiary of NEXT FCR, a Venture Capital fund managed by STAG and counselled by Optylon Krea. The value of the transaction has not been revealed, but it is known that it was around 20 million euros.

The following day, it became public that a foreign investor had acquired land at Herdade da Aroeira for a residential and tourist project. The project foresees the construction of around 29,000m2 above ground: 247 units - 210 for tourist use and 37 for residential use, including an aparthotel with around 150 units. Neither the investment amount nor the buyer have been revealed.

Meanwhile, the largest portfolio of supermarkets in Portugal is going to be acquired for 150 million euros. The US private equity fund LCN Capital Partners will acquire the so-called “Project Amália”, which comprises 50 assets. The transaction, which will be closed with the German Trei of the Tengelman Group, encompasses 50 assets, in a total area of 68,196m2.

Finally, with the week ending, a portfolio of properties valued at more than 400 million euros will enter the market. The property portfolio will be placed on the market by Novobanco, also including the Cabanas Golf development, a building in Olivais Sul, land in Portimão and the tourist project in Benagil, in the municipality of Lagoa. Similarly, the portfolio includes around 94% of the investment units of the fund that owns the land in Amoreiras, in Lisbon, with an area of 130,000m2, which the institution inherited from Banco Espírito Santo.

October, 3, 2022 The last days of September proved it to be a week of major investments and news, in the real estate market. On the one hand we have had major developments in the office segment; on the other hand we have also had relevant news in the NPL's market, with BPI selling a portfolio of 140 million euros to funds managed by LX Investment Partners. At the beginning of the week, a society for the construction of a new office building in Campo Grande has been sold. The funds managed by Blackstone worked together with Multi Corporation in the transaction aimed at the construction of a new office building in Lisbon. Next to the transport terminal between the Alvalade XXI Stadium and the NOS headquarters building, the project allows for the construction of a new office building with over 14.000m2. Meanwhile, Norfin has launched the “Oriente Green Campus” office building. The construction should be completed during the second half of 2023 and promises to bring a new impetus to the north area of Parque das Nações. The building is located in Moscavide and will have a total office area of 41,100 m2 as well as 18,700 m2 of outdoor areas. The announcement has been  made by Norfin, one of the national references in the management of real estate investments, on behalf of the Fundo Multiusos Oriente FEIIF, held by the Orion European Real Estate Funds. With the week approaching its middle, Maya Capital launches its first real estate project in Lisbon. Eligible for the Golden Visa, Conceição 123 is located in a premium location in the city. The real estate investment fund entered the Portuguese market with an investment of 65 million in residential assets and debuts with this income tourism project. Mercan Properties also emerged in the spotlight with the acquisition of properties for a new hotel in Faro. The assets will be subject to a rehabilitation and real estate development project, which will bring new life to that space. With a gross construction area of approximately 6.500m², these properties are a unique opportunity to promote a new project in the Algarve. The investment value has not been revealed. With the week coming to an end, BPI has informed that it has concluded the sale of the Citron Project, with a total gross value of around 140 million euros, to funds managed by LX Investment Partners S.A.R.L.. The Citron Project comprises around 15.000 credit agreements of around 5.000 customers. The non-performing loan portfolio, referring to the Citron Project, includes positions with and without real mortgage guarantees, with a total gross value of around 140 million euros. Finally, Henderson Park is making an investment of 25 million euros to modernize Lagoas Park. The private equity real estate company announces an investment of 25 million euros for the renovation of the most prominent business park in Portugal and the largest in the Iberian Peninsula. The ambitious modernization project will enhance indoor and outdoor areas as well as collaborative spaces. The business park has been the destination of choice for the national headquarters of companies of international importance.  
August, 29, 2022 Coming to its end, this last week of August showed once more the existing robustness of the real estate market. Several segments, all over the country, were the target of significant investments and transactions. At the beginning of the week, the Tagar Group announced the investment of 28 million euros to set up the Espinho Business Centre. The asset will be the first equipment in the municipality to present spaces ready for immediate occupancy by companies of the industrial sector, service brands and liberal professionals. The Espinho Business Centre will be installed in an area of 58.000 square meters, 23.000 of which are of covered area for various sectors of activity – of these, 11.000 are already in the contracting phase. Meanwhile, Mealhada has approved the Local Housing Strategy in an investment of 68 million euros. The City Council unanimously approved the Local Housing Strategy in a meeting of the Municipal Executive, which foresees the intervention in several social housing neighbourhoods, the construction of housing and the support, to individuals, for the recovery of degraded houses intended for rent at controlled costs. At the beginning of the week, Parvalorem was known to have resumed the sale of a property portfolio worth 250 million euros. Two years after the Ministry of Finance blocked this transaction, Parvalorem, which manages the problematic assets of the bankrupt BPN, resumed the process of selling a real estate fund, valued at just over 255 million euros. Meanwhile, a shut down hotel in Viana do Castelo reopens after works worth 10 million euros. After being closed for 16 years, the Viana Sol hotel reopens in February 2023, after being refurbished as a themed hotel. The hotel will change its name to Dona Aninhas. At the end of the week, Aldi opened a new store in Palmela. It is in the parish of Quinta do Anjo that the food retailer has opened its 111th store in Portugal, continuing its expansion plan. The new store offers a total sales area of 1.000 m2. With no investment value revealed, the company thus owns 15 stores in the district of Setúbal.