'Urban renewal: a business producing millions in Lisbon and Porto' (25 Feb 2018)

  • 'Urban renewal: The crazy business that is producing millions'

  • By Vania Maia and Paulo M. Santos. Published in Exame, in Sapo, on 25 February 2018

  • Original headline in Portuguese: Reabilitação urbana: O negócio louco que está a dar milhões

  • Summary (from Google Translate):

    • In 2017, the real estate investment achieved through gold visas in the Portugal was €771 million. About €743 million corresponds to the purchase of properties with a value equal to or greater than € 500,000, and close to €27 million to the purchase of properties for rehabilitation with a value equal to or greater than €350,000, according to the Foreigners and Borders Service.

    • The Chinese continue to be the ones that most seek this type of investment. International investors were responsible for buying 25% of the homes sold last year. In the case of the BWA Group, the customer portfolio is divided in half between foreigners and Portuguese.

    • Many want to monetize the real estate they already have, but do not know how. “They are people or institutions that don't understand anything about construction, but they have a lot of money”, explains Carolina Janeiro, 35, director of the company's project management department, created two years ago, when they realized this market need.

    • Between 2013 and 2018, property prices increased by 56% in the historic centre of Lisbon and by 88% in downtown Porto.

  • Regulatory levels: local (Lisbon, Porto), national (Portugal), EU

  • Keywords: Lisbon, Porto, Portugal, renovation, investment, foreign investment, corporate landlords

The article highlights the fact that in 5 years, between 2013 and 2018, property prices increased by 56% in the historic centre of Lisbon and by 88% in downtown Porto.