IPD

IPD is the world leader in performance measurement and analysis for the global owners, investors, managers and occupiers of real estate, through the provision of independent market.

Indices and individual portfolio measurement and analysis services operating on five continents, IPD provides its index and benchmark services in over twenty of the world's leading real estate investment markets. An independent company, IPD does not participate in investment markets and does not offer consultancy advice on investment decisions or other real estate issues.

Portuguese property returns remain stable, says IPD (PT)

IPD has released its 2007 results for the Imométrica / IPD Portuguese Property Index. The total return for the 12 months to December 2007 was 12.4%, the highest since 2002, but only a slight increase from the 12.0% total return at the end of 2006. Over the 12 months of 2007, the 12.4% total return on property significantly outperformed bonds which had a total return of 2.4%. Equities however outperformed all property, with total returns of 19.8%. Capital growth rose to 6.0% in 2007 from 5.4% in 2006, while income return fell from 6.3% in 2006 to 6.1% in 2007. Retail was the best performing sector with a total return of 14.9%, followed by Industrials at 10.5% and Offices at 8.2%.

Country manager for IPD’s service in Portugal, Luis Francisco said: “The Imométrica / IPD Portuguese Property index delivered a double digit total return in 2007, confirming the steady growth trend and attractiveness of the Portuguese investment market. The performance achieved in the short and in the long term confirms property as one of the best performing asset classes in Portugal. As in previous years, the retail sector was the market leader in 2007, and in particular shopping centers. However, the stronger performance in 2007 seen in both the office and industrial market should also be noted in comparison with the previous years.”