Unlock Lisbon's Housing Supply: The Case for Selling State-Owned Property
A powerful new argument is gaining traction in Lisbon: to solve the housing crisis, the government must sell its vast portfolio of empty and decaying buildings to the private sector. This market-driven approach, championed by commentator Margarida Bentes Penedo, would "flood the market" with new supply, a move that could dramatically lower prices and create a wealth of opportunities for developers and investors.
What Foreign Investors Need to KnowThe Portuguese state is one of the country's largest landlords, holding countless buildings in prime locations that are ripe for redevelopment. The current policy of hoarding these assets, or even buying more, restricts supply and keeps prices artificially high. "A policy shift towards privatization would be a game-changer," explains a real estate investment analyst. "It would unlock hundreds of potential development projects, from luxury apartments in historic manors to large-scale residential construction. For investors, this is the single most important policy to watch."
Actionable Steps for Today's Buyer- Identify Public Assets: Research and map state-owned properties in your areas of interest. These are the potential development sites of the future. Early knowledge can provide a significant competitive advantage.
- Advocate for Market-Based Solutions: Support political movements and policies that favor privatization and reducing bureaucracy. A more open, market-friendly environment benefits all investors.
- Prepare for Opportunity: A large-scale sell-off of public property would require developers and investors to be ready with capital and a clear strategy. Position your resources to act quickly when these assets come to market.
- Look at Zoning: The potential of these properties is tied to their zoning. The controversial Entrecampos deal, which prioritized commercial use over housing, highlights the importance of advocating for residential-focused urban planning.
Explore opportunities with realestate-lisbon.com.
