Portugal Property Investment News

Major tourism projects to benefit Portuguese market

Owners of investment property in Portugal can expect to see a rise in demand in resale and rental markets, with the news of the latest government initiative which has licensed €15 billion-worth of new tourism projects throughout the country.

The Projects of National Interest System, launched in 2005, has granted 73 projects status as ‘PIN projects’; combined these are expected to generate employment for more than 56,000 people. Fifteen new tourism projects have been given the go-ahead to start in the first quarter of this year, equating to €3.5 billion of investment.

The Algarve is know as one of Portugal’s most popular areas among overseas buyers with an estimated 50,000 properties owned by British people, and this area will receive around €1.5 billion of investment as 11 projects have been licensed through the scheme. This will be welcomed by owners of property in the region, who already enjoy steady demand from both Portuguese and foreign holidaymakers throughout the year, thanks to its golf courses which keep visitor numbers high through the traditionally quieter months.

Portugal as a whole enjoys a buoyant tourism industry, which has been the case since it became popular during the 1970s, and its combination of good climate and plentiful golf courses continue to ensure a steady stream of tourists – over 27 million tourists per year.

The PIN scheme has streamlined the system of licensing tourism projects, by ensuring that the six different public organisations that regulate the licensing process make their decisions at the same time, and continue to follow the projects through to completion.

Out of the 139 projects that have been submitted to the scheme, 73 have been granted licenses and 22 are still undecided on.