Lisbon Logistics Heats Up: Scarcity Drives Rents 50% Higher for Investors
For foreign investors seeking robust returns, Portugal's logistics real estate sector presents a compelling, if challenging, opportunity. A new CBRE report highlights a critical supply-demand imbalance, especially in the Greater Lisbon area. The availability rate for logistics space has fallen to a scant 2.8%, causing prime rental prices to soar by 50% since the pandemic. This scarcity, coupled with strong demand, signals a high-growth environment for savvy investors.
What Foreign Investors Need to KnowDespite a slight dip in overall confidence, 58% of operators are planning major investments in 2025, and 57% expect revenues to grow. This demonstrates the sector's underlying strength. "Portugal's fundamentals, like the boom in e-commerce and new retail entries, are giving investors confidence," says Nuno Torcato, CBRE's Head of Logistics. The key takeaway is that demand for modern, well-located logistics facilities far outstrips supply, creating a landlord-favored market with significant potential for rental appreciation.
Actionable Steps for Today's Buyer- Target Value-Add Opportunities: With prime assets scarce, look for older industrial properties in strategic locations around Lisbon that can be upgraded to modern logistics standards.
- Early-Stage Development: Consider investing in land for new logistics developments. With a near-record 427,000 sqm leased in 2024, the demand for new, high-quality space is proven.
- Focus on E-commerce Enablers: Prioritize properties that can serve as 'last-mile' delivery hubs, a segment experiencing explosive growth.
- Diversify Beyond Lisbon: While Lisbon is the main hub, the 70% rent increase in Porto indicates that strong opportunities exist in other strategic locations along Portugal's main economic corridors.
Explore opportunities with realestate-lisbon.com.
