The Portuguese hotel market is experiencing positive momentum, according to key real estate firms Cushman & Wakefield, JLL, CBRE, and Savills. All indicators suggest that the dynamism will persist throughout the second half of the year.
“The appetite for hotel investment in Portugal remains stable, considering the observed investment volumes,” stated Gonçalo Garcia, head of hospitality at Cushman & Wakefield, noting significant transactions in 2025, including the Anantara Vilamoura and Cascais Miragem hotels.
JLL reports a total of 331 million euros in hotel assets transacted in the first half of the year, marking a 33% increase from the previous period. According to Augusto Lobo, head of capital markets, these figures affirm “the continuous interest from investors in the sector and reflect the robustness of the Portuguese tourism market.”
CBRE projects that hotel investment will exceed 600 million euros in 2025, surpassing 2024 figures, as stated by José Maria Coutinho, Head of Research. He also emphasizes that “71% of investment continues to come from international investors” and highlights that “Portugal has, for the first time, topped the preferences of European investors,” based on CBRE’s annual survey.
Savills’ capital markets leader, Pedro Simões, noted that the hotel sector comprised about 20% of total real estate investment volume in 2024, equating to roughly 486 million euros out of a total of 2.4 billion euros. Estimates for 2025 indicate “a growing share,” with a 16% year-on-year increase in the first half.
“Projections for the second half remain promising, with slightly better performance than the previous year, maintaining strong sector traction,” said Pedro Simões.
This interest underscores the attractiveness of the Portuguese market amid sustained tourism growth, largely driven by an increased number of high-spending American visitors.
Despite the international context marked by tariff wars and geopolitical uncertainty, the national hotel market continues to attract investment, supported by solid demand.
Regarding the pipeline of new hotel projects, Cushman & Wakefield accounts for around 110 projects set to open in the next three years, with 30 scheduled to launch in the second half of 2025. The majority of these projects are 4 and 5-star hotels (37% and 45%, respectively).
When asked about potential project delays due to the current economic uncertainty, the C&W representative dismissed such trends. “We are not aware of hotel projects being canceled due to market factors or a lack of confidence in tourism dynamics. There are indeed project delays, many resulting from protracted licensing processes,” he explained.
JLL reports a total of 115 projects in development, with 71 under construction, and a pipeline of 12,172 rooms, more than half (56%) under construction.
CBRE confirmed the opening of 25 units (approximately 2,800 rooms) this year and anticipates at least 11 more by year’s end. The consultancy noted no “recorded delays or cancellations in hotel projects,” though “there are delays in licensing and construction phases.”
Savills highlights that “the pipeline remains robust for the next two years,” with Lisbon leading as the city with the most rooms in development (3,300), followed by the Algarve (3,000), and Porto and the Northern Region (2,000).
