Updated: March 30, 2023
The Portugal Golden Visa has established itself as one of the most popular investment schemes of its kind since it was launched in 2012. The residency by investment program provides investors with the opportunity to secure residency in Portugal in return for a qualifying investment. While there are location restrictions for residential real estate investments that qualify for the program, there are no location requirements when it comes to buying commercial property for Portugal’s Golden Visa – a significant advantage of this investment option.
In this article, we are going to delve into the options for making a commercial real estate investment for the Portugal Golden Visa.
Important note: The Portugal Golden Visa is coming to an end. If you are interested in applying for the Golden Visa program, we strongly recommend you begin your application now.
You can consult our article on the Golden Visa ending to stay updated.
The Portugal Golden Visa
The Portugal Golden Visa has generated more than €6.8 billion since its launch in 2012. This is a testament to the popularity of the program. Investors from the world over have invested in the country in return for a residency permit and a whole host of benefits.
Significant advantages of the Golden Visa program include a short-stay requirement, the ability to live in a stunning Mediterranean country with a high quality of life, significant tax advantages for foreign investors, and the fact that you can include your family members in the application. Portugal is also ranked as the sixth most peaceful country in the world, according to the 2022 Global Peace Index, and has progressive legislation, other crucial factors why individuals worldwide are flocking to Portugal.
What’s more, it is also possible to obtain permanent residency and Portuguese citizenship after five years. To secure Portuguese citizenship, you will need to maintain your investment for five years and fulfill all the requirements under Portuguese nationality law, including taking a basic Portuguese language test and having a clean criminal record. With visa-free access or visa-on-arrival to 172 countries and the ability to live, work, and study in a European Union (EU) country, holding a Portuguese passport has a lot of perks.
You can read our article about all the benefits of the Golden Visa program, the investment options, Golden Visa requirements, and a step-by-step guide to the process: Portugal Golden Visa: Your Ultimate Guide 2023.
As we’ve mentioned, the Portugal Golden Visa is coming to an end. We highly recommend that you begin your application now if you are interested in the program.
Buying Commercial Property for Portugal’s Golden Visa
The most popular route is the Golden Visa real estate pathway, which accounts for more than 90 percent of investments for the program. However, there are various options, including investment funds, job creation, and capital transfer.
When it comes to residential property, changes to the program in January 2022 restricted qualifying properties to designated interior areas. However, there are no such restrictions for commercial properties, making it an excellent – and lucrative – investment opportunity.
For both commercial and residential property, a 20 percent discount applies if the property is located in a low-density area.
You can read our article on low-density and interior areas for more information on the topic.
Commercial real estate as a whole includes businesses, retail, and offices. Under the bracket of commercial property, you also have tourism real estate, which could be an excellent option for investors – particularly in Portugal, where tourism is a cornerstone of the economy. Tourism real estate refers to properties related to hospitality, such as service apartments, condominium resorts, and hotel projects.
Regarding tourism real estate, you need to comply with the Tourism of Portugal, which regulates the tourism market.
To qualify for commercial real estate, including tourism real estate, you will need to invest €500,000 in commercial real estate or €350,000 if investing in a rehabilitation project.