Prime Yield presents “Investment Guide for SOCIMIs and SIGIs 2021”
Despite having started under the effect of a new general confinement, property investment in Portugal this year should exceed, albeit slightly, the volume investd in 2020, which was the third best result ever in the national market. The outlook was presented by Prime Yield, part of Gloval, during the webinar promoted by Gloval on May 5th, where the company released the main conclusions of the 2021 edition of the “Investment Guide for SOCIMIs and SIGIs”
Prime Yield estimates that property investment in Portugal will reach €3,0 bn in 2021, a volume that compares slightly upward (+7%) with the €2,8 bn transacted in 2020. Last year saw an annual drop of 13%, but transaction levels remained among the highest in the market. According to the “Investment Guide for SOCIMIs and SIGIs 2021″, despite the first months of 2021 being marked by a new general lockdown in the country and, consequently, by a more cautious attitude from investors, there is still high liquidity for investing in real estate, anticipating a strong recovery of investment activity in the second half of the year, led by international investors, but with an increasingly strong presence of national investors.
In addition to offices, which remain among the preferred targets, the sectors drawing the increasing attention of investors will be logistics, whose occupational demand has soared following the massive growth of e-commerce; the new segments of the residential sector, especially build-to-rent and student housing; as well as hotels, which despite being strongly affected in terms of occupation, are emerging on investors’ radar.
As far as Spain is concerned, “Investment Guide for SOCIMIs and SIGIs 2021″ estimates that real estate investment may also perform positively this year, reaching €12,0 bn. This was the volume initially estimated for 2020, when investment fell by around 30% to around €9,0 bn. As in Portugal, logistics; residential segments such as build-to-rent, student and senior housing; and hotels are seen as the most attractive targets for investors this year.
The “INVESTMENT GUIDE FOR SOCIMIs and SIGIs 2021″ provides an updated insight into the economy, the property market and the legal framework for REITs investing (or intending to invest) in Iberia. In terms of the property market, the Guide includes an overview of this market in Portugal and Spain throughout 2020, also outlining the outlook for 2021, focusing on the performance of the occupational and investment markets in the office, housing, logistics, retail and hotel segments. The document provides a comparative analysis between the two countries in all these fields, aiming to be an essential tool for REITs in Portugal (SIGIs) and Spain (SOCIMIs). In its second edition, this is an initiative developed by Prime Yield, part of Gloval, and DLA Piper.