Independent, private investment company RE Capital, which specialises in the acquisition, development and asset management of real estate, has welcomed the news that Portugal’s Golden Visa programme has been extended to January 2022.
“At RE Capital, we have identified Portugal as one of the best territories in the Euro Zone to invest in,” says Olivier Hezelot, Head of Europe at Swiss-based RE Capital. “Not only is it an exceptionally beautiful country with great infrastructure, but it also offers many other benefits to investors, among them access to extremely favourable interest rates, as well as rental guarantees and attractive purchase prices. On top of that, the Portugal Golden Visa programme offers a real estate investment route to gaining residency and potential citizenship in the country, and hence European citizenship. Launched in 2012, it has since encouraged several billion euros in real estate investment and over 2,000 family applications each year. We are delighted to let our potential investors know that they have more time to take advantage of this incredibly attractive opportunity.”
New rules published by government (Decree Law 14/2021, of 12 February) pushed out the deadline for the standing for authorisations of residency for investment (ARI), commonly known as ‘Golden Visas’, by six months, meaning that the visas can continue to be sought within the metropolitan areas of Lisbon and Porto, and in coastal areas like the Algarve for that much longer. Until 1 January 2022, the existing rules and requirements remain the same.
The key points of the government’s announcement, to enter into force as of 1 January 2022, are as follows:
- Property Investments: The minimum amount required remains the same and is between €500,000 and € 350,000 (for urban renovation)
- Capital Investment: The minimum amount required is now € 1.5 M (previously €1 million)
- Investment Funds: The minimum amount required is €500,000 (previously €350,000)
- Job creation: The minimum amount required of €500,000 + 5 new jobs (previously €350,000)
- Science and Research Activities: The minimum amount required is €500,000 (previously €350,000)
In partnership with Neworld, a European-domiciled property development company established by South African property development specialist, John Rabie, RE Capital has a joint venture business which ensures that investors in the Portuguese market can count on strong growth returns.
“Our first joint project was LX Living, a €90-million, 150-unit mixed-use development in Amoreiras, a sought-after residential neighbourhood in central Lisbon,” says Hezelot. “The development was launched to investors in South Africa and Portugal in 2019 with great success.”
In addition to LX Living and AAA23, RE Capital has in its current portfolio two magnificent development sites in the trendy neighbourhood of Marvila in Lisbon, where a total of 300 apartments will be built over the course of the next few years, and a recently acquired fourth development site in the Algarve, known for its magnificent beaches and golf resorts, which will add another 43 villas to the company’s portfolio. The gross development value of the portfolio amounts to approximately €350 million.
“We encourage savvy investors to take advantage of the golden window that has been extended to the end of the year and to take a look at the developments in our portfolio,” says Hezelot. “It could be the best investment decision you ever make.”