The volume of investment in retail assets in Europe totalled €24.6 billion since the beginning of the year, representing an increase of 16% compared to the same period in 2024, according to the latest Savills study. The figure also exceeds by 3% the average of the last five years for the same period (Q1–Q3).

Despite persistent economic challenges, this result confirms the strong recovery of the retail sector in Europe.

In Portugal, the amount invested in commercial spaces increased by 128% between January and September compared to the same period in 2024, standing out as a particularly dynamic market.

The recovery trend extends to other European countries, with significant variations in Belgium (+241%), the Netherlands (+180%), Denmark (+135%) and Finland (+114%).

José Galvão, Head of Retail at Savills Portugal, states: “The fundamentals observed in the European market also apply to Portugal. The strong demand for retail assets, especially in prime locations, will continue to put pressure on rental values and on the compression of prime yields. This context will attract more players to the market, whether developers, investors or occupiers.”

Shopping centres continue on a recovery path, with investment in the sector representing 30% of the total retail volume since the beginning of the year, an increase from the 26% recorded in the same period of 2024. This growth is mainly due to larger transactions, reflecting greater investor confidence and growing demand for assets capable of responding to new consumption trends.

For James Burke, Director of Global Cross Border Investment at Savills, the retail market is showing clear signs of recovery, once again attracting more investors. “The reduction in vacancy rates, the rise in rents and the lack of new projects in the market are strengthening the sector’s profitability. This scenario has led to the entry of larger assets and portfolios into the market and to a greater diversity of buyers.”

Lydia Brissy, Director in Savills European Commercial Research Team, adds: “In 2026, the improvement of economic conditions and the dynamism of the leasing market are expected to maintain investor interest. The reduction of yields should continue gradually, especially in retail parks and high street stores, due to strong tenant demand. Prime shopping centres should also benefit from increased institutional demand, which will support liquidity and the decrease of yields in this segment.”