The land located on Rua de Bernardim Ribeiro, in the São Roque da Lameira area, is owned by Ageas insurance company, the financial investor of this “build to rent” project. Once constructed, the properties will remain with Ageas but will be leased to the municipality. Through its municipal company Porto Vivo SRU, the municipality will sublet them at affordable rental rates as part of the “Porto with Sentido” program.
During the contract signing event held today at Casa do Roseiral, Luís Menezes, CEO of Ageas Portugal Group, expressed confidence that this “build to rent” initiative might spark similar projects across the country.
The project, named “Jardins do Oriente,” is set to include three buildings with a total of 124 new affordable rental units. These will consist of two studios, 36 one-bedroom apartments, 71 two-bedroom apartments, and 15 three-bedroom apartments.
Rental caps are set at 525 euros for studios, up to 550 euros for one-bedroom units, 830 euros for two-bedroom units, and 950 euros for three-bedroom units.
“The model, though complex, is robust enough for a company of our scale in a highly regulated industry such as insurance, to recognize that beyond being an investment opportunity, it is a social obligation,” said the Ageas executive, who chose not to provide further comments outside the event or disclose investment figures.
Porto Mayor Rui Moreira remarked that resolving the housing issue requires public sector capacity to engage in business with the private sector, recalling unsuccessful models of the Monte Pedral and Monte da Bela projects.
The mayor highlighted that the initiative targets the eastern region of the city, emphasized as a “priority” by the municipality.
Campanhã parish is rapidly transforming due to strategic investments and planning, he noted, adding that private investors are also taking an interest in the area.
The affordable rental units are to be managed by Porto Vivo SRU for 10 years, with a possibility to extend once. Thus, the units will remain with the municipality for a maximum of 20 years.
An additional building with 27 units will also be constructed in the “Jardins do Oriente,” but these will not be part of the affordable rental market.
This project is also in partnership with construction company Garcia Garcia, with construction expected to start between the third quarter of 2025 and the first quarter of 2026. The project aims for completion by 2028, with an estimated construction period of two years.
