According to the data of the "Investment Guide to SOCIMI and SIGI 2023" from the real estate and credit asset valuation company Prime Yield, the hotel and logistics segments of the Spanish real estate market have become the two most profitable over the past year. Profitability in the hotel segment exceeded 4.75%, and in the logistics market — more than 4.25%.
This guide is primarily created for investment funds and banks, such as a "roadmap" for investments in companies operating in SOCIMI and SIGI modes. Both are special tax systems with their own system of regulation. The first was presented in Spain, and the second in Portugal.
The guide presents a comparative analysis of the systems, Spanish and Portuguese real estate markets. The guide also indicated that investor appetite remains strong in both countries: a record in Spain and one of the best in recent years in Portugal. In both cases and in both sectors, profitability continues to trend upward due to an increase in the cost of capital.
Investments in commercial real estate in Spain reached a new high in 2022, amounting to 17.5 billion euros. This is the result of an increase of 59% compared to 2021. Portugal ended 2022 with investments of 3 billion euros, which corresponds to the volume of 2018 and 2019 and exceeds the results of 2021 by 36%.
According to Nelson Rego, SEO Prime Yield and head of Global business development in the field of real estate valuation and consulting services, the real estate market has always been one of the main driving forces of the Iberian economy. Investment data for 2022 indicate a revival of the market, and it is expected that these figures will be exceeded this year, especially in its second half.
In Spain, the segments of hotel and logistics real estate have become one of the main factors in the development of the market. Alternative investment assets of the local market, in which these segments are included, accounted for 31% of the total amount of invested funds over the past year. We are talking about 5.4 billion euros, a figure twice as large as was recorded in 2021. The retail and office real estate segments also showed good results, which reached a share of 20% in the total investment volume.