Why Invest in Real Estate
Real estate combines income, capital appreciation and inflation protection in a single asset class.
FOUR REASON
A real, tangible asset
Intrinsic value that resists inflationary erosion, unlike purely financial assets
A dual return engine
Combines periodic rental income with capital appreciation over the medium/long term
Low correlation
Historically low correlation with equity and bond markets, strengthening diversification
Leverage and collateral
Enables mortgage-backed financing, optimising the return on invested capital
Why Portugal
Portugal offers one of the most compelling entry points in Europe today — a resilient, safe and fast-appreciating market with no restrictions on foreign ownership
INDICATORS
Foreign investment in real estate (2025)
€3,905 M
+10.4% vs. 2024 · 45.9% of total foreign direct investment, even as overall FDI fell 34.9% (Banco de Portugal, Feb. 2026)
House price growth in 2025
+16.8%
Median price €2,076/sqm (idealista/news, Apr. 2026)
Global Peace Index 2025
7th
One of the world’s most peaceful and safest countries
Purchases by non-residents
No limits
Same rights as national citizens, under current Portuguese law
Why Invest Now
Portugal is facing a structural, historically unprecedented gap between new housing construction and actual demand — creating a rare window of opportunity for developers able to deliver quality housing at scale.
Completed construction vs. estimated annual need (no. of units)
Completed 2023 (INE)
26,673
Completed 2024 (INE)
28,494
Needed per year through 2029 (APPII)
70,000
SUPPORTING FIGURES
70,000/y
Estimated need for new homes through 2029. Current pace: around 20,000 homes per year (APPII, via idealista/news, Mar. 2026)
≈300,000
Housing deficit accumulated over the last decade (APPII, via idealista/news, Mar. 2026)
28,494
Homes completed in Portugal in 2024, +6.8% vs. 2023 (INE — Construction and Housing Statistics)
A Structural Deficit
A decade of chronic under-building has left construction unable to keep pace with demand — a shortfall the market is not on track to close before 2035
COMPLETIONS AND PERMITS VS. THE 2035 REQUIREMENT (NO. OF UNITS)
Completed 2015–2024 (INE)
156,000
Building permits 2024 (INE)
22,100
Needed by 2035 (EC JRC)
465,000
Why Invest in Our Fund
Portugal’s real estate fund market comprises 321 active vehicles with €17,852 M under management (N2AM, Aug. 2025). Yet 76% of the assets held are already-completed income properties — and of these, only 6% are residential. The residential development pipeline remains a structurally under-served niche.
MARKET COMPARISON
Smart Build Capital
Closed-end
260 AUM (€M)
Fund in formation
Residential development
CA Património Crescente
Open-end
1,405 AUM (€M)
5.29% 5-year annualised return
Retail, services and tourism
Fundimo
Open-end
692 AUM (€M)
5.24% 5-year annualised return
Offices (>50%), logistics and retail
Valor Prime
Open-end
523 AUM (€M)
4.20% 5-year annualised return
Offices, retail and warehouses
VIP
Open-end
380 AUM (€M)
3.77% 5-year annualised return
Offices, retail and services
BPI Imofomento
Open-end
718 AUM (€M)
3.42% 5-year annualised return
Offices, retail, diversified residential
THREE DIFFERENTIATORS
Exclusive residential focus
unlike most funds in the market, which target already-completed commercial properties.
Identified, measurable pipeline
assets with land area, GFA and unit count already defined, in Sesimbra, Quarteira Velha, Algueirão-Mem Martins, Feijó and Pinhal Novo.
Aligned with the structural deficit
positioned directly in the 150,000–200,000-unit gap identified by the sector for the coming years.