Real estate investment in Spain reached 7.3 billion euros in the first half of 2025, an increase of 22% over the same period last year and 15% above the average for the first half of the last ten years, at around 6.37 billion, according to CBRE data. The consultancy firm forecasts a more active second half of the year and maintains a growth forecast of close to 15% for the year as a whole, which would put the total volume at around 16,000 million euros, compared to the 14,000 million recorded in 2024.
In the Iberian sphere, the increase in joint investment between Spain and Portugal was 28% year-on-year. This positive evolution is also reflected in international perceptions, as reflected in the European Investor Intentions Survey 2025 prepared by CBRE. Spain is positioned as the second most attractive European country for investors, with Portugal in sixth place. In addition, Spain is the only country with two cities in the ranking of preferred destinations: Madrid rises to second place (from third place in 2024) and Barcelona reaches fourth place (from seventh), while Lisbon ranks eighth.
The living, retail and hotel sectors accounted for 70% of the volume invested in the first half of the year. Specifically, residential registered more than 1,720 million euros (23%), driven by large operations closed during the first quarter, with activity also in secondary locations such as Valencia, Alicante, Guadalajara, Seville and Zaragoza.
Retail was the second largest sector by volume, with more than EUR 1,700 million transacted, representing an increase of 46% compared to the same period last year and also 23% of the total invested. Deals in shopping centres such as Espacio Mediterráneo, Ballonti, Bonaire and Xanadú have contributed significantly to the dynamism of the sector. CBRE acted as sales advisor in the Ballonti and Xanadú transactions.
Hotels with 1,630 million, equivalent to 22% of the total, the second best first half of the year in the last eight years. Four- and five-star hotels accounted for 70% of the investment, followed by economy hotels (20%) and three-star hotels (less than 10%). Holiday product accounted for 62% of the volume transacted.
Offices reached EUR 1,170 million, 40% more than in the first half of 2024. This growth was mainly due to three large transactions, which accounted for 75% of the sector's total: the Prado buildings in Madrid, Planeta in Barcelona and the corporate acquisition of Deeplabs by Colonial. The latter is a visible sign of the entry of investors in specialised segments such as Life Science. Also noteworthy were the change of use operations, with more than 170 million invested, and purchases for own use, which exceeded 150 million.
The industrial and logistics segment accumulated more than EUR 550 million, up 37% year-on-year. Although there is still a shortage of product, off-market operations gained weight, both of individual assets and portfolios in the process of being marketed.
Healthcare exceeded EUR 400 million thanks to operations such as the purchase of 71% of Hospital Hospiten Boadilla by Banca March, and the acquisition of Mentalia by Neural from DomusVI, which involved 1,168 beds. Alternative assets registered more than €180 million, with operations such as the purchase of the Alannia campsites by European Camping Group.
Investor profiles and returns
Socimis increased their share to 18% of total investment in the first half, compared to an average of 9% in the last three years. Family offices and other private investors exceeded 10%. Institutional capital, on the other hand, gained presence through corporate transactions.
Domestic investors led the activity with 58% of the volume, while French and US investors together reached 1.1 billion (9% and 8%, respectively), followed by the UK (6%).
In terms of yields, CBRE notes that the corrections that began in 2022 have stabilised. Miriam Goicoechea, Director of Research for Iberia at CBRE, points out that "we observe a stabilisation in prime yields in most products, with occasional adjustments and renewed investor interest, especially in core segments and prime locations. Lower interest rates and improved risk perception are driving activity, although limitations persist due to product scarcity and macroeconomic volatility."
Madrid and Barcelona account for 61% of investment.
Madrid accounted for 36% of total investment and Barcelona for 25%. The rest of the locations, with close to 40%, equalled the average of the last five years (38%) and surpassed pre-pandemic levels (27% between 2015 and 2019). Of particular note are the Valencian Community and the Canary Islands, both with 9% of total investment and almost half of all investment recorded in secondary locations.
CBRE expects the second half of the year to maintain this upward trend. "The strong momentum seen at the start of 2025 continues in the second quarter, reaching levels close to 2022, the second best year after an exceptional 2018. We anticipate a second half of the year with increased activity, driven by large corporate transactions in sight and continuing the trend observed in recent months," concludes Goicoechea.
