globe retail outlook data

 

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Portugal

Portugal retail offer is dominated by retail schemes, which account over 3.5 million sq m, including shopping centres, retail parks and other formats such as outlets, department stores and hypermarkets with retail galleries. Shopping centres are the main retail attraction. In the first decade of the millennium, total shopping centre supply almost doubled, with the opening of 124 schemes. Supply of shopping centres currently stands at 2.7 million sq m. There is a wide offer of shopping centres spread all over the country and the market is very consolidated and mature. The opening of new schemes is now sporadic and the market is already considered to be saturated in a few locations so there is a trend towards the repositioning and rebranding of existing schemes. The best shopping centres in the country currently have only residual or strategic vacancy. The secondary shopping centres continue to slowly recover with reductions in the level of rent discounts. Colombo in Lisbon, and NorteShopping in Porto, are considered the best shopping centres in Portugal. Prime rents in the premium Portuguese shopping centres have already increased 12% since the 2007 peak.

Retail park’s format expanded particularly during the period between 2004 and 2008. There are currently 40 schemes in Portugal, dispersed throughout the entire country, occupying a total area of 420 thousand sq m. This format has suffered strongly during the crisis, not only due to an oversupply in some locations but also a smaller pool of tenants that procure space in this retail format, which has led to high vacancy rates and a downward pressure on rents. 2016 saw the start of recovery for a number of retail parks, with the return of the traditional occupiers of this format and the emergence of new tenants, driving a prime rental increase of 3%.

There are only 4 FOC in the country which account for 97,500 sq m GLA. Freeport Fashion Outlet in Greater Lisbon and Vila do Conde The Style Outlets in Greater Porto are the best outlet centres in Portugal and a new scheme, Designer Outlet Algarve, is going to open in the fourth quarter of 2017 in the south of Portugal, providing the first outlet destination in this region.

Rua Garrett (in Chiado), Avenida da Liberdade and Rua Augusta (downtown) in Lisbon, as well as Rua de Santa Catarina in Porto are the prime high street retail axis in Portugal.  The increase in tourism flow, the change in the lease law (in 2012), together with several urban regeneration works, have been contributing to a very dynamic high street retail market in Lisbon and Porto (even during the crisis period). Prime high street rents in Lisbon and Porto have already increased 41% and 13% respectively from 2007 and this trend is expected to continue both in Lisbon and Porto.

Our Top Tip For
New Arrivals

Shopping centres are the most popular route of market entry for international retailers, not only because of the consolidated nature of the market but also due to the good quality and diverse offer. However, luxury brands continue to prefer the charm and exclusivity of buildings in the historic high street locations. The prime shopping centres in Lisbon and Porto are a must see as well as Avenida da Liberdade and Chiado in Lisbon and Clérigos, Aliados and Santa Catarina in Porto. These established high street locations are the best place to take in the atmosphere of these historic centres.

Currency

Euro (EUR)
EUR €1
USD $1.23
GBP £0.88

Language

Portuguese
Hello: Olá
Thank you: Obrigado

International Dialing Code

+351

Time Zone

0

Cost of a Pair of Jeans

99.00 EUR

Cost of a Cup of Coffee

2.70 EUR

Cities in Portugal

Contact Us

CARLOS RÉCIO
Edificio Amoreiras Square
R.Carlos Alberto da Mota Pinto, 17 - 8 A
+351 91 777 12 04 | carlos.recio@cbre.com