Portugal Property Digest

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Investimento estrangeiro

Opinion 9 Nov 2026

Louçã: property funds drove about 80% of transactions in the first half, and the Government is "fingir que faz"

Francisco Louçã

In a Lusa interview published on 7 November, ahead of his final lecture at ISEG, economist and former Bloco de Esquerda coordinator Francisco Louçã said property funds accounted for roughly 80% of property purchases and sales in the first half of the year and argued the country should take power away from them. He also criticised the PS's public guarantee and tax-benefit proposals as price-inflating, preferring rent-controlled release of existing homes, and called the PRR a missed opportunity. Treat the 80% figure as his claim, not a published statistic.

“fingir que faz”

Why it matters: It is the clearest statement yet of the argument that fiscal support for buyers feeds prices rather than supply — the line any guarantee or exemption in the OE2027 will have to survive.

Banks say they are scaling up construction lending, with CGD at €1.6bn and up 22%

Speaking around CGD's results presentation in Lisbon on 5 November, chief executive Paulo Macedo said the bank has lent over €1.6 billion to construction companies, up 22% year on year, and that the shortage — which he put at around 300,000 homes — will not be solved in one legislative term; he also argued rent freezes would keep homes off the market and called for the 25,000 PRR-funded homes to be finished. BPI's João Pedro Oliveira e Costa pressed for industrialised construction, incentives and faster approvals, and BCP's Miguel Maya said the bank has reoriented its property development unit towards moderately priced homes for middle and lower-middle income households.

Why it matters: Development finance is getting easier to raise, and the banks are explicitly steering it at moderate-price residential rather than top-of-market product — which is where approvals and offtake now look most straightforward.

Commercial property investment reaches €2bn, up 7%, with Q3 up 33% on the quarter

Dils Portugal puts commercial real estate investment at €2 billion so far this year, 7% above the same period of 2025, with €630 million transacted in the third quarter, 33% more than the second. Retail led Q3 with €195 million (31%), lifted by the sale of Forum Algarve, while offices had their best quarter of the year at €112 million; year to date, hotels stand at €590 million and industrial and logistics at €384 million, the latter on track for its second-largest annual volume in a decade.

Why it matters: Capital is still arriving and rotating towards retail, logistics and hotels — a useful read on where institutional money, and therefore exit pricing, is currently willing to go.