The first half of 2025 (H1 2025) was a period of strong recovery and market resurgence for Portuguese commercial real estate, with the total investment volume soaring to €1.23 billion—a remarkable 69% increase year-on-year. But within this growth, one asset class stood head and shoulders above the rest: Retail.

In a decisive market shift, the retail sector didn’t just participate in the rebound—it led it, solidifying its position as the best-performing asset class by investment volume. Retail emerged as the undisputed investment king, achieving a colossal €616 million in capital inflows. This figure not only captured 50% of the total commercial real estate market share but also represented an astounding 360% increase compared to H1 2024.

Retail’s Reign: Investment Volume Analysis

This dramatic growth was primarily driven by key factors that underpinned investor confidence:

• Robust Tourism: Historic tourism flows continued to sustain strong consumer demand.
• Footfall Recovery: A marked recovery in footfall and sales across shopping centers fueled operational confidence.
• Sustained Consumer Activity: Despite broader economic concerns, consumer activity remained resilient.

A Stable Picture on Prime Yields: The Details

The high volume of transactions and strong investor demand translated into a generally stable environment for prime yields across most retail sub-sectors by Q2 2025, though notable movements were recorded within specific segments.

For the largest assets, prime Shopping Centers and Retail Parks, the prime yields remained stable, holding at 6.50% and 7.00%, respectively. This stability reflects solid operational confidence in these formats.

However, the High Street segment proved to be particularly attractive to investors, seeing a significant 50 basis point (b.p.) compression in its prime yield over the half-year. This downward pressure, which reflects rising asset values, pushed the yield down to 5.00%, indicating heightened competition for premium urban retail space.

Conversely, the Supermarkets segment experienced a slight yield expansion of 0.25 percentage points (pp) quarter-on-quarter, reaching 6.00%.

In conclusion, while the Office and Industrial sectors also contributed to the overall market increase, it was the unprecedented 360% surge in retail investment that defined the first half of 2025, firmly positioning the Portuguese retail asset class at the forefront of the country’s real estate investment landscape.

Ready to capitalize on the yield movements in this resilient segment? Discover current Portuguese supermarket investment opportunities here.

The post Retail dominates Portuguese Real Estate in first half of 2025 appeared first on Prima Carta: Commercial Real Estate Investments in Portugal.

Opportunity to acquire the fee simple interest (full ownership of land and building) in a high-quality, corporately guaranteed supermarket located in the northern region of Portugal. This modern, freestanding building, completed in 2024, offers a generous 1,760 square meters of gross construction area, situated on a significant 9,200 square meter land parcel. The property is secured by a 20-year net-net (NN) lease agreement with a major, nationally recognized food retailer, providing a stable and reliable income stream until 2044. The lease agreement includes attractive annual rent escalations based on the Consumer Price Index (CPI), offering a hedge against inflation. Strategically positioned, the supermarket benefits from a strong local catchment area, with a population exceeding 15,000 residents within a 15-minute driving radius, ensuring consistent customer traffic.

Further details such as location, photographs and price will be available on request. Please contact our sales team for further information. (ID#V250)

Phone/WhatsApp | +351 968 656 255
Email | info@prima-carta.com

Looking for commercial real estate in Portugal? Contact us today for a free consultation and discover how we can help you unlock the exciting prospects of Portuguese commercial real estate market.

Prima Carta, a Portuguese commercial real estate broker, empowers international investors to capitalize on Portugal’s flourishing property market. We specialize in Lisbon city and its surrounding neighborhoods, providing comprehensive support throughout the entire investment journey. Our clientele includes private investors, family offices, real estate private equity firms, and institutional investors seeking lucrative investment properties in Portugal.

The post Investment Opportunity: Newly Built Supermarket with Long-Term Corporate Lease in Northern Portugal appeared first on Prima Carta: Commercial Real Estate Investments in Portugal.

Seeking a stable investment opportunity in Portugal’s commercial real estate market? This net leased retail park, developed in 2019, offers a chance to acquire a well-positioned property with strong potential.

Situated in Portugal’s north region, the park benefits from a consolidated commercial and industrial area. Easy access from the city center and surrounding areas ensures convenient customer traffic. Furthermore, a strong demographic base exists with a catchment area of approximately 120,000 inhabitants within a 5-10 minute drive time.

The property features a well-balanced mix of retail spaces totaling 4,920 sqm, anchored by one of Portugal’s leading retail brands. Ample customer convenience is provided by 240 free outdoor parking spaces. An enticing opportunity for future growth exists with an undeveloped land parcel offering the chance to expand the Gross Leasable Area (GLA) by 300 sqm.

Further details such as location, photographs and price will be available on request.
Please contact our sales team for further information.

Phone/WhatsApp | +351 968 656 255
Email | info@prima-carta.com

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Looking for commercial real estate in Portugal? Contact us today for a free consultation and discover how we can help you unlock the exciting prospects of Portuguese commercial real estate market.

Prima Carta, a Portuguese commercial real estate broker, empowers international investors to capitalize on Portugal’s flourishing property market. We specialize in Lisbon city and its surrounding neighborhoods, providing comprehensive support throughout the entire investment journey. Our clientele includes private investors, family offices, real estate private equity firms, and institutional investors seeking lucrative investment properties in Portugal.

The post Retail Park Investment in Portugal appeared first on Prima Carta: Commercial Real Estate Investments in Portugal.

Investors looking to buy commercial properties in Portugal will be faced to deal with tax payment in different stages of their investment cycle. There are 3 main groups of taxes that apply to real estate investment: taxes on acquisition, on ownership and disposal of a property. Please note this article refer only to acquisition of commercial properties. Residential properties have different tax structure.

Taxes on Acquisition

• Property Transfer Tax – acquisition of commercial properties in Portugal, including land for development, is subject to Property Transfer Tax at a flat rate of 6.5%. The amount of tax is calculated on the property purchase price or its tax registered value, whichever is higher.
• Stamp Duty – this tax is levied at a rate of 0.8% on the higher of the property purchase price or its tax registered value. Financing and guarantees related to the property, like mortgages, are also subject to a 0.4% stamp duty tax.
• Value Add Tax – As a general rule, the transfer of property in Portugal isn’t subject to value added tax. However, the “exemption waiver” of VAT is possible and may be useful in case the construction has been carried out in the property and VAT paid therein is to be recovered by the respective developer.
• Notary and Land Registry Fees – In Portugal, the transfer of real estate ownership is documented through a public deed (escritura pública), a notary public (notário) must be involved. The notary fee covers their services in ensuring the legality and accuracy of the deed. These fees typically range between €500 and €1,000 per transaction and can be deducted as an expense. Once the public deed is finalized, the property transfer must be registered with the relevant Land Registry Office (Conservatória do Registo Predial). This registration process incurs a flat fee of €270. According to market practice, the buyer is responsible for paying both the notary fees and the land registry fees.

Taxes on Ownership

Property owners in Portugal are subject to an annual tax called the Municipal Property Tax (Imposto Municipal sobre Imóveis – IMI). This tax is levied on the property’s registered tax value, not the market value. The payment deadline is December 31st of each year.

IMI tax rates are set annually by individual municipalities across Portugal. These rates typically range between 0.3% and 0.45% for urban properties and land designated for development. Rural properties, including farms, agricultural land, and rustic buildings outside urban areas, are subject to a higher rate of 0.8%.

Taxes on Rental Income

The tax treatment of rental income in Portugal depends on investor residency status:

• Non-Residents: Rental income earned in Portugal by non-resident individuals and companies is subject to a flat tax rate. This rate is 28% for individuals and 25% for companies. You are considered a non-resident if you spend less than 183 days per year in Portugal or if your fiscal address is not located there.
• Residents: Rental income for resident companies is subject to Portugal’s corporate income tax rate of 21%. For resident individuals, rental income is taxed under the personal income tax regime, with a rate of 28%.

Taxes on Property Disposal (Sale)

Portugal applies a capital gains tax to profits earned from selling property. The tax rate depends on investor residency status:

• For non-resident individuals and companies, capital gains are taxed at a flat rate. This rate is 28% for individuals and 25% for companies.
• For resident companies, capital gains are subject to Portugal’s corporate income tax rate of 21%. Resident individuals pay capital gains tax under the personal income tax regime, with a rate of 28%.

The amount of capital gains subject to taxation is calculated by subtracting the following from the sale price of the property:

• Acquisition costs (including the original purchase price)
• Sale costs (e.g., agent fees)
• Any capital expenditure made within 5 years prior to the sale (improvements, renovations, etc.)

Important Note: It’s always recommended to consult with a tax professional to ensure you understand your specific tax obligations when selling property in Portugal.

Wealth, Inheritance & Donations Taxes

Portugal does not currently have a wealth tax. This means investors are not taxed simply for owning assets like property in Portugal.
Portuguese tax system levy a stamp tax on both donations and inheritance of property:

• Donations: Transferring property ownership through donation is subject to a stamp tax of 0.8% of the property’s value.
• Inheritance: Inheriting property is subject to a stamp tax of 10% of the property’s value.

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Looking to invest in commercial real estate in Portugal? Contact us today for a free consultation and discover how we can help you unlock the exciting prospects of Portuguese commercial real estate market.

Phone/WhatsApp | +351 968 656 255
Email | info@prima-carta.com

Prima Carta, a Portuguese commercial real estate broker, empowers international investors to capitalize on Portugal’s flourishing property market. We specialize in Lisbon city and its surrounding neighborhoods, providing comprehensive support throughout the entire investment journey. Our clientele includes private investors, family offices, real estate private equity firms, and institutional investors seeking lucrative investment properties in Portugal.

The post Cost Considerations for Investing in Portuguese Commercial Real Estate appeared first on Prima Carta: Commercial Real Estate Investments in Portugal.

FOR SALE: Brand-New Hotel | NN-Lease

Newly constructed, 120-unit hotel situated in a central location within a vibrant city of 126,000 residents. The property boasts a brand new 15-year lease agreement with a globally renowned hotel operator, managing over 400 hotels worldwide. The lease features an inflation-adjusted annual rent increase, ensuring a steady and reliable income stream for the investor. Additionally, the lease structure eliminates tenant break options throughout the lease term, providing further stability and predictability.

The hotel itself is a testament to modern design and functionality, boasting 26 outdoor parking spaces and occupying a spacious 4,719 sqm land area. Its well-planned interior design encompasses a cross-construction area of 3,978 sqm, ensuring ample space for guest accommodations, amenities, and operational facilities.

Further details such as location, photographs and price will be available on request. Please contact us for further information. 

Phone/WhatsApp | +351 968 656 255
Email | info@prima-carta.com

Looking for commercial real estate in Portugal? Contact us today for a free consultation and discover how we can help you unlock the exciting prospects of Portuguese commercial real estate market.

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Considering investing in already leased commercial property in Portugal? Understanding the legalities of leasing is crucial, especially from the perspective of an overseas investor. This guide provides an overview of key aspects of commercial lease agreements in Portugal, specifically geared towards investors who are acquiring properties with existing tenants. It’s important to note that this information applies solely to commercial properties and does not cover residential leases.

Duration

Commercial leases in Portugal are flexible regarding duration. Parties can freely agree on a term between 1 year and 30 years. If no specific term is stated, the lease defaults to a 5-year term. Leases exceeding six years must be registered with the Land Registry Office.

The agreement can address termination rights, break options, and lease renewal terms. It can also specify rules for maintenance and repairs on the property.

Rent Value and Updates

Rent is typically calculated per square meter of leased space and is usually payable monthly in advance. A security deposit or bank guarantee, equal to a set number of monthly rents (most common is two months), is standard practice to ensure the tenant meets their obligations.

Rent is generally charged without VAT. However, both parties must meet specific requirements to request a waiver from the VAT exemption. The current VAT rate for leasing purposes is 23%.

The lease agreement can specify phased or variable rents, along with mechanisms for rent updates. An annual update based on the official price consumer index is most common, but alternative criteria can be agreed upon.

Operating Expenses

The tenant covers charges for utilities like water, electricity, and internet related to the property’s use. They are only responsible for other expenses if explicitly outlined in the lease agreement.

The landlord typically handles property tax and insurance fees. Unless otherwise agreed, the landlord is responsible for structural property repairs, while the tenant is usually responsible for ordinary maintenance.

Maintenance, Repair, and Reinstatement at End of Lease

The tenant generally needs written landlord consent for any works on the property, except in emergencies. However, the tenant is obligated to perform routine maintenance to keep the property suitable for its intended purpose. 

The tenant can make improvements with the right to compensation upon removal, provided it doesn’t damage the property (unless otherwise agreed). The landlord is responsible for maintaining common areas in the building, with exceptions outlined in the lease.

The lease should specify the condition in which the premises will be returned at the end of the term, considering reasonable wear and tear.

Assignments, Transfers of Lease & Subleases

Assigning the lease requires the landlord’s prior written consent, except in cases where the tenant’s entire business undertaking is transferred, which automatically transfers the lease agreement. The landlord has a pre-emption right in such situations.

Subletting the property, in whole or part, requires the landlord’s prior written consent. Failure to obtain consent can lead to lease termination. The sublease rent cannot exceed the original lease rent plus 20%, unless otherwise agreed with the landlord.

Termination

The landlord can only terminate the lease early for specific reasons, such as the tenant defaulting on rent for three months or more. The law outlines some grounds for termination, and the lease agreement can specify additional events constituting a default.

Commercial leases offer more flexibility for break options during the lease term. The agreement can allow for automatic renewals at set intervals, with recent legal changes requiring the landlord to wait at least 5 years before opposing the first renewal. Non-renewable leases are also possible.

Sale of Leased Property

The sale of a leased property does not affect the existing lease. All rights and obligations simply transfer to the new owner. However, for leases exceeding two years, the tenant has a pre-emption right to purchase the property. The tenant must be notified of the sale and its terms to exercise this right.

Looking to buy commercial real estate in Portugal? Contact us today for a free consultation and discover how we can help you unlock the exciting prospects of Portuguese commercial real estate market.

Get in touch with us!
Phone/WhatsApp | +351 968 656 255
Email | info@prima-carta.com

The post Navigating Leases: Invest in Portugal’s Commercial Property appeared first on Prima Carta: Commercial Real Estate Investments in Portugal.

Burger King (Drive Thru | NN-Lease)

Newly constructed, stand alone, drive thru Burger King restaurant siting on a 2,167 sqm lot. The property is leased for 29 years, extending to 2053. The lease feature annual rent escalation tied to inflation, guaranteeing consistent income growth and hedge against inflation. Per the lease terms, tenants is responsible for roof, structure, maintenance, equipment and utilities. The property boasts a prime location on a high-traffic intersection with over 85,000 vehicles passing daily.

Specific details regarding price, location, photos, and lease terms will be provided upon request due to confidentiality reasons. Please contact our sales team for further information.

Get in touch with us!
Phone/WhatsApp | +351 968 656 255
Email | info@prima-carta.com

Looking to buy commercial real estate in Portugal? Contact us today for a free consultation and discover how we can help you unlock the exciting prospects of Portuguese commercial real estate market.

Prima Carta, a Portuguese commercial real estate broker, empowers international investors to capitalize on Portugal’s flourishing property market. We specialize in Lisbon city and its surrounding neighborhoods, providing comprehensive support throughout the entire investment journey. Our clientele includes private investors, family offices, real estate private equity firms, and institutional investors seeking lucrative investment properties in Portugal.

The post Retail Property Investment in Portugal appeared first on Prima Carta: Commercial Real Estate Investments in Portugal.

FOR SALE: SUPERMARKET WITH RENTAL INCOME

Freestanding, single-tenant, retail property in Porto leased to a food retailer operator for 20-years under a NN-lease agreement. Lease ends in 2041. The property features prime location in consolidated commercial area with access to 150,000+ residents within a 15-minute drive time. There’s the possibility to build an additional 1,500 square meters of space, subject to approvals.

Due to confidentiality reasons, specific details regarding lease terms, location, photos, etc will be made available on request.

Looking to invest in commercial real estate in Portugal? Contact us today for a free consultation and discover how we can help you unlock the exciting prospects of Portuguese commercial real estate market.

Get in touch with us!
Phone/WhatsApp | +351 968 656 255
Email | info@prima-carta.com

Prima Carta, a Portuguese commercial real estate broker, empowers international investors to capitalize on Portugal’s flourishing property market. We specialize in Lisbon city and its surrounding neighborhoods, providing comprehensive support throughout the entire investment journey. Our clientele includes private investors, family offices, real estate private equity firms, and institutional investors seeking lucrative investment properties in Portugal.

The post Supermarket Investment in Portugal appeared first on Prima Carta: Commercial Real Estate Investments in Portugal.

Lisbon’s vibrant culture, stunning landscapes, and booming economy have long captivated tourists. But for shrewd investors, the city offers another enticing prospect: a thriving retail market brimming with potential. Here are 5 key reasons why overseas investors are setting their sights on Lisbon’s retail properties:

A Flourishing Economy & Rising Consumer Confidence

Portugal’s economy has experienced steady growth in recent years. Coupled with Portugal’s successful handling of the COVID-19 pandemic, this has fostered rising consumer confidence. The country’s efficient response and relatively low infection rates have created a sense of stability, making Lisbon an attractive market for retail investment.

Global Hub & Tourist Magnet

Lisbon’s strategic location boasts excellent air connections, making it a magnet for tourists. This constant influx translates to vibrant foot traffic for retailers, especially in prime locations.

High Occupancy Rates & Stable Rental Income

Retail properties in Lisbon typically enjoy high occupancy rates, offering investors a predictable and reliable income stream. This stability is crucial for building a strong investment portfolio.

Beyond Tourism: The Power of Local Staples

While tourist areas offer undeniable appeal, savvy investors are increasingly recognizing the potential of retail spaces catering to Portuguese families in non-tourist neighborhoods. These stores, often supermarkets, pharmacies, or local shops, benefit from stable demand, long-term leases and attractive yields.

Managed Inflation & Strong Market

While inflation is a concern across Europe, Portugal has managed it relatively well compared to other countries. This economic stability, combined with the overall strength of the Lisbon retail market, makes it an attractive option for investors seeking a safe and profitable investment.

Navigating the intricacies of a foreign real estate market can be daunting. However, by partnering with experienced local experts like Prima Carta, overseas investors can benefit from:

• Streamlined Processes: We simplify the investment journey, handling legalities and navigating local customs.
• In-Depth Market Knowledge: Our team provides valuable insights to identify prime locations and understand market trends.
• Seamless Property Management: Prima Carta takes care of everything from tenant screening and lease negotiations to ongoing property management, ensuring a worry-free experience.

Investing in Lisbon’s retail sector presents a compelling opportunity for overseas investors seeking a dynamic market with strong growth potential. With its flourishing economy, global hub status, and diverse retail landscape, Lisbon offers a chance to tap into a vibrant scene poised for continued success.

Ready to Invest in Lisbon retail properties? Contact us today for a free consultation and discover how we can help you unlock the exciting prospects of Lisbon’s commercial real estate market.

The post Lisbon Retail Properties: 5 Reasons to Invest Now appeared first on Prima Carta: Commercial Real Estate Investments in Portugal.