This Warehouse/ garage is situated in Barrio Alto in Lisbon City Centre.

It is an ideal Location and site for a car park with the possibility of holding 60 parking spaces.

The location is excellent.There is a possibility to increase the area with 2 underground levels and another level on top.

The total built area as it is now is 1.200 m² and possible future built area of 4.800 m2.

Refurbished Buildings
• Government want urban renewal
• 4,500 buildings in the city require renovation
• Old rental contracts fixed for 50 years
• Landlords could not increase the rents
• Buildings became run down
• Last year laws changed for old rental contracts
• It is now possible to increase rents provided that the landlord renovates the building


Renovation of City Buildings
• Most buildings are 100 years old
• Any tenant living in these buildings are a minimum of 70 years old
• Example:
• Old rent can be approx €25 for an apartment of 170m2
• Value of a new apartment 170m2 = €3,000m2 x 170 = €510,000
• The legal municipal value on rental is 4% of price - €20,400 per year or €1,700 per month
• From 4,500 buildings: 300 belong to council and 350 are currently awaiting planning approval to reconstruct in council.


What is happening in the market now?
• Buildings are coming onto the market for sale.
• Landlords are selling to investors and developers from Portugal, Spain, Italy and France are buying up.
• Investors are buying blocks and once planning permission is through putting it back on the market at a profit.
• Other investors go through with construction and sell apartments to the local market.
• Prices have risen approx 20% within the last year in this sector
• Locals are buying up these new built or renovated apartments
• Portuguese have one of the highest rates of owner occupiers in Europe
• Population of Lisbon is 4 million, only 500,000 live in the City now
• There is enough accommodation in Lisbon to house 2 million people
• New International Airport under construction in Lisbon.

What is happening now in the market?
• Due to fixed rents no money was being invested in maintenance of the buildings and the standards dropped so residents moved out of the City
• New modern apartments are in high demand in Lisbon City
• Trends are changing and Portuguese are moving back into the City from suburbs as renewal is taking place
• There is not enough supply to meet the demand
• At the moment the price of property in Lisbon is only 1/3 of the average price of property in all European capital cities
• The real estate market in Portugal has been increasing steadily for the last 50 year (currently 5-8% per year)
• This is the beginning of an excellent investment opportunity

Price per m2
• 3 stages:
• Stage 1; Purchase of building = €800 to €1,100
• Stage 2; Sell/Purchase building with planning approved = €1,150 to €2,000
• Stage 3; Construct project and sell apartments