Investment in Lisbon’s Urban Rehabilitation Area Fell Back to Levels Last Seen in 2016

Real estate investment in the Lisbon Urban Rehabilitation Area (ARU) has returned to levels last seen in 2016.

Real estate investment in the Lisbon Urban Rehabilitation Area (ARU) totalled €3.744 billion in 2020, based on sales of 8,706 properties at an average price of €431,400 per transaction. According to Confidencial Imobiliário (CI), the figures represent a drop of 30% in the total invested and 21% in the number of properties sold year-on-year. At the same time, the average ticket per transaction fell by 12%. The data includes sales of every type of real estate, including houses, flats, shops, offices, land and services.

According to the IC, a total of €5.32 billion was invested in 10,958 properties in the Lisbon ARU in 2020, equal to an average transaction of €487,700 per sale. The total for 2020 was only higher than that last seen in 2016, which saw €3.323 billion in sales. 2020 was also the least dynamic year since 2016,

Investment in 2020 went, in large part, to the parish of Santo António (€522 million), followed by Avenidas Novas (€400 million), Arroios (€356 million), Santa Maria Maior (€340 million), Estrela (€307 million) and Misericórdia (€235 million). Investment in the remaining parishes held below €180 million, with the region posting the lowest investment receiving just €29 million.

The Lisbon Urban Rehabilitation Area covers practically the city’s entire territory, excluding some areas such as Parque das Nações, Laranjeiras and Alta de Lisboa. As a result, the analysis by Confidencial Imobiliário covered every parish in the city, excluding Parque das Nações, Lumiar and Santa Clara.