Commercial property investment in Portugal totalled €1.4 billion in the first half of 2026, up 14% year-on-year, with the hotel, retail and industrial & logistics sectors accounting for more than 80% of total investment volume, according to Savills.
The result was underpinned by a particularly strong first quarter, when investment reached €914 million, 39% higher than a year earlier, while the second quarter recorded €491 million, broadly in line with historical averages.
Around 55 transactions were completed during the first six months of the year, 25% more than in H1 2025. Although the average deal size fell to €27 million from €34.2 million a year earlier, the figures point to a more granular market supported by a broader investor base, Savills noted in its Capital Markets H1 2026 report.
Hotels remained the most active asset class, attracting €508 million and accounting for 36% of total investment volume, a 54% increase compared with the same period last year, supported by continued investor appetite for tourism-related assets.
Retail ranked second, with €464 million invested, representing 33% of the market despite a 25% year-on-year decline. Industrial and logistics followed with €164 million, accounting for 12% of total investment and marking a 48% increase, largely driven by portfolio transactions.
Office investment totalled €68 million, equivalent to 5% of the market, down 49% from the first half of 2025. According to Savills, the decline reflects the limited availability of prime assets rather than weaker occupier demand.
Alternative asset classes also strengthened their position during the period. Data centres attracted €120 million in investment, boosted by the sale of the Covilhã campus, while the living sector – expanded this year to include senior living assets – reached €71 million, up 79% year-on-year and accounting for 5% of total investment.
International investors remained the dominant source of capital, accounting for 61% of total investment, while domestic investors represented 38.1%. Institutional investors and private equity funds together were responsible for 63% of the capital deployed.
Prime yields remained broadly stable across the main asset classes, standing at 5% for offices, 5.5% for logistics and hotels, 6.25% for shopping centres, 6% for retail parks and 4.25% for high street retail.
Alexandra Gomes, Head of Research at Savills Portugal, said the figures demonstrate the market's ability to continue attracting capital despite a more demanding financing environment, supported by sector diversification and an expanding investor base.
Pedro Figueiras, Director and Head of Lisbon at Savills Portugal, noted that the volume transacted by June already represents around half of the total recorded in 2025, adding that the current pipeline of hospitality and logistics transactions points to a particularly active second half of the year.
