PBSA is becoming a more and more consolidated asset class in Portugal. Since 2017, when the first modern schemes began to be developed, the market’s fundamental principles have shifted. We are now entering into a new phase, clearly moving from a development market to a standing, income-producing assets market!
Over the last 12 months we saw new schemes opening, projects finally starting construction and many more unfortunately still delayed. Even so, demand continues much higher than supply and provision rates remain amongst the lowest in Europe.
Contrary to previous years and notwithstanding the large portfolio deals (Smart Studios in 2022 and Xior’s acquisition of the U-Hub schemes in 2019) a record number of schemes transacted over the last academic year. A new investor entered the market, bringing with them a new operator.
In this years’ study we take a look at the current market fundamentals, where we are today in terms of students, schemes, rents and investment, what main challenges the market faces for the short to medium term and what trends we can anticipate going forward.
