• The Avenida da Liberdade - Saldanha axis is the area with the highest percentage of occupant loyalty
• In Porto, companies prefer to relocate their offices to the Foz do Douro and Parque da Cidade areas and the Avenida dos Aliados - Rua Gonçalo Cristóvão axis.
• These are some of the conclusions of the Savills latest “Business Migration” study, which analysed 153 office transactions in Lisbon and 65 in Porto in 2023

A total of 153 operations in Lisbon and 65 operations in Porto, closed during 2023, were analysed.

Renowned for their strategic location and skilled workforce, both cities have been gaining popularity both as destinations for expanding international companies and for digital nomads in recent years. Thanks to their quality of life and excellent infrastructures, Lisbon and Porto have become attractive hubs for remote and hybrid working schemes.

Lisbon’s office market

In 2023, the Avenida da Liberdade - Saldanha axis had the highest company retention rate, with 63% of relocations taking place within the same area. This area has shown that its centrality and prestige are decisive factors for the companies that remain there.

The CBD area (Avenida da República, Avenida Duque de Loulé and Amoreiras) came second in terms of retention, with 57% of absorption resulting from companies that stayed in this area. The high retention rate highlights the strategic importance of the CBD, especially for the financial and professional services sectors, which benefit from the accessibility and infrastructure available.

Parque das Nações stood out as the area that retains the most companies in the event of a decision to expand. In fact, 65% of the GLA earmarked for expansion was occupied by companies already present in the area, reinforcing its appeal as a growing business centre.

In 2023, the main sectors driving relocations and expansions in Lisbon were consultancy, law, technology (TMT) and business services. Strategic location, combined with proximity to clients and talent, continues to be a priority factor for companies.

According to Frederico Leitão de Sousa, Head of Offices at Savills Portugal: “Location, accessibility and proximity to customers and human resources are fundamental criteria when selecting the areas where companies will set up. By rigorously analysing all these factors, organisations ensure that they select premises that meet the operational needs of their business and at the same time help to attract and retain the best talent.”

Porto’s office market

In Porto, the Other Zones area (Paranhos / Foz do Douro / Aldoar) recorded the highest percentage of company retention, with 67% of GLA taken up by companies that moved premises within the same zone. The CBD Baixa zone (Avenida dos Aliados - Campo 24 de Agosto) also showed strong retention, with 54% of GLA absorbed by companies that moved within the same area. These high retention rates reflect the advantages of these areas, such as access to talent, essential services and good infrastructure.

In the Expansion Zone (Zona Empresarial do Porto - ZEP), 82% of the GLA occupied due to premises reallocations originated from companies located in the Boavista CBD area, with the same percentage observed for expansions. This migration to the ZEP suggests the need for larger, more modern spaces - requirements that have become essential for a significant proportion of companies today.

This trend emphasises the evolving demands of companies looking for environments that not only accommodate their growth, but also offer contemporary amenities that improve productivity and collaboration.

In the Out of Town area, which includes the cities of Matosinhos, Maia and Vila Nova de Gaia, 40% of the GLA occupied by relocations came from the same area. Matosinhos stands out as the main destination, with the highest volume of new projects planned.

Graça Cunha, Offices Associate at Savills | Porto Division, comments: “The CBD Boavista area continues to show the strongest attraction for setting up corporate offices, essentially due to its easy access to key infrastructures and services. However, it’s important to emphasise that areas such as ZEP - Zona Empresarial do Porto e Matosinhos (Porto and Matosinhos Business Zone) are gaining relevance with new projects that also combine features and amenities that currently make a difference in attracting talent, thus becoming highly attractive areas in the coming years.”

Alexandra Gomes Portugal, Head of Research at Savills Portugal says: “One of the main conclusions of this edition of the ‘Business Migration’ study is the strong tendency of companies to remain in their original locations when they decide to move or expand their premises. However, the new demands and expectations of younger generations make it essential for companies to consider more modern and innovative spaces, which in some cases can lead to them choosing new areas in their cities.”