1.7 million square meters of non-residential real estate in 2016

July 13, 2017

In 2016, approximately 1,200 non-residential real estate projects in mainland Portugal were in the process of being licensed, with an area totaling 1.7 million m2.

According to data disclosed by Confidential Imobiliário (Ci), which analyzed energy pre-certificates issued by ADENE in 2016 – providing a window into planned investments in real estate development -, compared to 2015, the number of this type of project increased by 37%, driven both by an increase in new development projects (which rose from 562 to 688) and from rehabilitation projects (from 279 to 468).

The retail sector accounted for the largest number of planned projects (474, or 41% of the national total), followed by social facilities, with 31% and 376 new buildings. Tourism and offices had 13% and 12%, respectively, with 149 new tourist developments and 137 new office buildings. In terms of total area, social facilities and retail ventures also led, with 620,000 m2 and 593,000 m2 respectively, in planning. Tourism projects, in 2016, accounted for 284,000 m2, and offices for 173,300 m2.

Buildings with less than 1,000 m2 account for the largest part of planned development (65% of the total area), but projects with areas between 1,000 and 5,000 m2 are also significant, accounting for 31% of the portfolio. Nevertheless, there are some large projects, such as a healthcare establishment (social facilities), with about 60,000 m2, located in Lisbon, as well as two other social facilities in Braga and Lisbon, each having more than 20,000 m2. In retail, the two largest units in the portfolio in 2016 were located in Loulé, with areas of 72,500 m2 and 34,700 m2.  Planned office developments such as two projects with more than 30,000 m2, one in Lisbon (around ​​Avenidas Novus) and another in Oeiras, also stand out. In the tourism sector, the largest projects were in Sintra and Lisbon, with 25,500 m2 and 19,100 m2, respectively.

Original Story: Diário Imobiliário

Translation: Richard Turner